How transport costs depend on infrastructure?

How transport costs depend on infrastructure?
Hyung Do Ahn
logistics, costs, infrastructure
Issue Date
인하대학교 정석물류통상연구원
Series/Report no.
Journal of international logistics and tradevol.1 no.1129-144 pp.
The real costs of trade, the transport and other costs of doing business
iternationally, are very important determinants of a country's ability to
participate fully in the world economy. Remoteness and poor transport and
communications infrastructure isolate countries, inhibiting their participation in
global production networks. This paper investigates the dependence of transport
costs on geography and infrastructure It shows that infrastructure is quantitatively
important in determinig transport costs, and improvements in infrastructure can
dramatically increase trade flows. It also finds that the low level of Northeast
Asian countries' trade flows in largely due to poor infrastructure. Competition
among countries in East Asia to maintain or become a logistic hub in the region is
severe. Thiw is reflected in the competition to build of expand airports and seaports
in the region. Competing countries need to find ways of cooperating to achieve an
efficient resource allocation in the region as a whole.
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연구기관 > 대학부설 연구소 > 정석물류통상연구원 > Journal of international logistics and trade
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