From A New Look at Old Words originally found in the Dictionary of Nautical, University, Gypsy and Other Vulgar Tongues first published in 1859.
Nurse: a curious term lately applied to competition in omnibuses. Two omnibuses are placed on the road to Nurse, or oppose, each opposition “buss,” one before, the other behind. Of course, the central or Nursed buss has very little chance, unless it happens to be a favourite with the public.
Nurse: to cheat, or swindle; trustees are said to Nurse property, i.e., gradually eat it up themselves.
(So I’m guessing the omnibuses were privately owned or there wouldn’t be much point in putting the nursed bus out of business. That’s one way to get rid of the competition.)
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