This paper assesses the role of global value chains (GVCs) in services and identifies the sector’s contributions towards the expansion of the Japanese economy. Specifically, the analysis focuses on the tourism sector in Japan, which has been witnessing rapid growth in recent years. Tourism is...

Our paper empirically investigates the structure of transport costs for interregional trade, by using the micro-data of freight charge. We focus on road transport, reflecting the fact that trucking has a dominant share in transporting goods between regions in many countries (in Japan, 91.2% of...

This paper presents an approach to measuring the values of time cost for freight transportation, and examines its applicability through empirical analysis. We develop the method based on the hedonic approach by explicitly formulating how transport time is determined as market outcome. In the...

In estimating the production function of firms, problems of endogeneity and self selection exist as a result of firm-specific productivity shocks and entry/exit decisions. Several methods have been proposed to handle these problems, such as those by Olley and Pakes (1996) and Levinsohn and...