Publication: The Trade-Reducing Effects of Restrictions on Liner Shipping
Date
2014-06
ISSN
Published
2014-06
Author(s)
Bertho, Fabien
Borchert, Ingo
Mattoo, Aaditya
Abstract
This paper examines how policy governing
the liner shipping sector affects maritime transport costs
and seaborne trade flows. The paper uses a novel data set
and finds that restrictions, particularly on foreign
investment, increase maritime transport costs, strongly but
unevenly. The cost-inflating effect ranges from 24 to 50
percent and trade on some routes may be inhibited
altogether. Distance increases maritime transport costs, but
also attenuates the cost impact of policy barriers. Overall,
policy restrictions may lower trade flows on specific routes
by up to 46 percent and therefore deserve greater attention
in national reform programs and international trade negotiations.
Citation
“Bertho, Fabien; Borchert, Ingo; Mattoo, Aaditya. 2014. The Trade-Reducing Effects of Restrictions on Liner Shipping. Policy Research Working Paper;No. 6921. © World Bank, Washington, DC. http://openknowledge.worldbank.org/handle/10986/18758 License: CC BY 3.0 IGO.”
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