An analysis of explanatory factors of logistics performance of a country
AbstractThe paper uses standard econometric techniques and the Logistics Performance Index calculated by The World Bank for evaluating the impact of several key macroeconomic variables on the quality of the logistics sector from 42 countries and regions. The regression results and the graphs have revealed that there is a strong relationship between the development of the services sector and the logistics performance of a country. Services are a major source of sustainable economic development, but they are very sensitive to the quality of the infrastructure and the functioning of institutions. Another finding is that many economies where a significant part of value added is generated in industrial activities tend to have high growth rates and lower logistics performance. Many of these countries are located in Central and Eastern Europe and their economic expansion was mainly supported by foreign direct investments in industrial sites and real estate developments. Since these businesses are cyclical there is a high risk of an economic downturn. These countries, particularly Romania, should rapidly improve their trade and transport facilitation framework, i.e., logistics performance. Such measures will allow the emergence of a robust service sector able to make the economic development sustainable by cushioning the cyclical shocks from the industrial side of economy.
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Bibliographic InfoArticle provided by Academy of Economic Studies - Bucharest, Romania in its journal The AMFITEATRU ECONOMIC journal.
Volume (Year): 10 (2008)
Issue (Month): 24 (June)
logistics performance; services; economic growth;
Find related papers by JEL classification:
- L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
- L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
- O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
- O29 - Economic Development, Technological Change, and Growth - - Development Planning and Policy - - - Other
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Gaël Raballand & Jean-François Arvis & Michel Bellier, 2006. "Success Factors for Improving Logistics in a Middle-Income Country," World Bank Other Operational Studies 11771, The World Bank.
- Jean-François Arvis & Gaël Raballand & Jean-François Marteau, 2010.
"The Cost of Being Landlocked : Logistics Costs and Supply Chain Reliability,"
World Bank Publications,
The World Bank, number 2489, September.
- Arvis, Jean-Francois & Raballand, Gael & Marteau, Jean-Francois, 2007. "The cost of being landlocked : logistics costs and supply chain reliability," Policy Research Working Paper Series 4258, The World Bank.
- Luminiţa Nicolescu & Cristina Galalae & Alexandru Voicu, 2013. "Solving a Supply Chain Management Problem to Near Optimality Using Ant Colony Optimization, in an International Context," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 15(33), pages 8-26, February.
- Mariana Cristina Ganescu & Mihaela Asandei & Andreea Gangone & Camelia Chirilă, 2013. "Performance Determinants for Responsible Supply Chain Management in the European Emerging Countries," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 15(33), pages 154-169, February.
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