The Staggers Rail Act of 1980 sought to revitalize the nation's railroads by removing excessive regulatory constraints and allowing market forces to determine service options and rate adjustments. The Act, and subsequent Interstate Commerce Commission policy changes, significantly revised the process by which railroads were permitted to revise or cancel rates and terms applicable to interline rail services. After 1980, and especially between 1981 and 1983, a substantial number of joint rate cancellations were put forward as rail carriers sought to exercise their new flexibility. The study was designed to review the scope, complexity, and frequency of joint rate cancellations, to analyze the cancellation activities of certain railroads, to examine the current availability of joint line service, to investigate the role of the Interstate Commerce Commission in approving joint rate cancellations and changes in reciprocal switching arrangements, and to determine the impact those cancellations had on rail shippers and intramodal competition. The basic study approach consisted of two sets of on-site interviews with small samples of railroads and shippers, alongside research of public information at the Interstate Commerce Commission.


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