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and perhaps lower incomes. This paper investigates price discrimination in the shipping industry and the role it plays in … determining transportation costs. In the presence of market power, shipping prices depend on the demand characteristics of goods … being traded. We show theoretically and estimate empirically that shipping firms charge higher prices when transporting …
Persistent link: https://www.econbiz.de/10012777612
What is the role of transport improvements in globalization? We argue that the nineteenth century is the ideal testing ground for this question: freight rates fell on average by 50% while global trade increased 400% from 1870 to 1913. We estimate the first indices of bilateral freight rates for...
Persistent link: https://www.econbiz.de/10012759104
This paper develops and estimates a model of indivisibilities in shipping and economies of scale in consolidation. It …
Persistent link: https://www.econbiz.de/10012920901
relative prices. We turn next to economic explanations for this so-called border effect and to its dynamics. Distance, unit-shipping …
Persistent link: https://www.econbiz.de/10013225810
.S. markets than import tariffs. We investigate the determinants of shipping costs to the U.S. with a large database of more than … determinant of shipping costs. Improving port efficiency from the 25th to the 75th percentile reduces shipping costs by 12 percent … handling costs, which are one of the components of shipping costs. Reductions in country inefficiencies associated to transport …
Persistent link: https://www.econbiz.de/10013233046
The standard source for pre-WWII global freight rate trends is the Isserlis British tramp shipping index. We think it …
Persistent link: https://www.econbiz.de/10013292457
We study the returns to owning dry bulk cargo ships. Ship earnings exhibit a high degree of mean reversion, driven by industry participants' competitive investment responses to shifts in demand. Ship prices are far too volatile given the mean reversion in earnings. We show that high current ship...
Persistent link: https://www.econbiz.de/10013078599
Collusion is widely condemned for its negative effects on consumer welfare and market efficiency. In this paper, I show that collusion may also in some cases facilitate the creation of unexpected new sources of value. I bring this possibility into focus through the lens of a historical episode...
Persistent link: https://www.econbiz.de/10012862849
There were substantial fluctuations in the numbers of American overseas travelers, especially before World War II. These fluctuations in travel around the robust, long term upward trend are the focus of this paper. We first identify those fluctuations in the raw data and then try to explain the...
Persistent link: https://www.econbiz.de/10012757617
In his seminal publications between the 1930s and 1960s, Frederick Lane offered three hypotheses regarding the impact of the Voyages of Discovery that have guided debate ever since. First, pepper and other spice prices did not rise in European markets in the century before the 1490s, and thus...
Persistent link: https://www.econbiz.de/10012767453