Interior space allows you to carry more passengers, which is what the bus is supposed to do. As such, you want fairly high ceilings and a boxy shape because that increases interior room.
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Well, you might have noticed that school buses are big and heavy, over seven times heavier than a car when filled. That means they can absorb a crash better and passengers feel less force in a crash. Their solid frame also helps prevent damage in a rollover.
The seating on school buses follows a compartmentalization model and is designed to keep kids safe even though they're not wearing seatbelts. Compartmentalization consists of a few different elements: School bus seats are higher off the ground so that most opposing vehicles are below the kids' feet.
The trailer's sides and underbody affect aerodynamics because they influence how much drag-causing airflow is created around these areas of the semi-truck. In fact, the sides and underbody of the trailer are known to contribute up to 25% or an entire quarter of the aerodynamic drag on these cargo-carrying vehicles.
There are some claims that American geography makes public transit untenable, but the truth is that our built environment has been created in such a way that people have little choice but to drive. After World War II, car culture and an increased focus on single-family homes built the kind of suburbs we know today.
Buses (and large trucks) are designed to carry a lot of weight on their axles, which effectively means that they need to have very stiff springs in their suspension. This makes for a very bouncy, harsh, uncomfortable ride, which can be fatiguing for a driver who has to deal with it all day long.