IDEAS home Printed from https://ideas.repec.org/a/ags/wjagec/32135.html

Estimation Of Modal Demand Elasticities In Grain Transportation

Author

Listed:
  • Wilson, William W.

Abstract

Recent legislation in the transportation industry has stimulated a move toward more flexibility in railroad pricing and has consequently provided the impetus for the analysis of transportation demand. Modal demands for grain transportation are analyzed in this paper using a derived demand approach assuming dual relationships between production and cost functions of shippers' distribution activities. Hypotheses were introduced in the empirical specification about the effects of rail car shortages and the introduction of multiple-car rail rates. The model was estimated and hypotheses tested in the case of eastbound wheat and barley shipments form North Dakota.

Suggested Citation

  • Wilson, William W., 1984. "Estimation Of Modal Demand Elasticities In Grain Transportation," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 9(2), pages 1-15, December.
    • Handle: RePEc:ags:wjagec:32135
    DOI: 10.22004/ag.econ.32135
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/32135/files/09020244.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.32135?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Diewert, W E, 1971. "An Application of the Shephard Duality Theorem: A Generalized Leontief Production Function," Journal of Political Economy, University of Chicago Press, vol. 79(3), pages 481-507, May-June.
    2. Gregory H. Michaels & Richard A. Levins & Jerry E. Fruin, 1982. "Rail/Truck Competition for Grain Traffic in Minnesota: Implications for Rate Making," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 64(2), pages 276-279.
    3. Gallant, A. Ronald & Jorgenson, Dale W., 1979. "Statistical inference for a system of simultaneous, non-linear, implicit equations in the context of instrumental variable estimation," Journal of Econometrics, Elsevier, vol. 11(2-3), pages 275-302.
    4. Rodney Stevenson, 1982. "X-Inefficiency and Interfirm Rivalry: Evidence from the Electric Utility Industry," Land Economics, University of Wisconsin Press, vol. 58(1), pages 52-66.
    5. Richard C. Levin, 1978. "Allocation in Surface Freight Transportation: Does Rate Regulation Matter?," Bell Journal of Economics, The RAND Corporation, vol. 9(1), pages 18-45, Spring.
    6. Tae Hoon Oum, 1979. "A Cross Sectional Study of Freight Transport Demand and Rail-Truck Competition in Canada," Bell Journal of Economics, The RAND Corporation, vol. 10(2), pages 463-482, Autumn.
    7. Walter Miklius & Peter V. Garrod & Kenneth L. Casavant, 1976. "Estimation of Demand for Transportation of Agricultural Commodities," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 58(2), pages 217-223.
    8. Fuller, Stephen & Shanmugham, C. V., 1981. "Effectiveness of Competition to Limit Rail Rate Increases Under Deregulation: The Case of Wheat Exports from the Southern Plains," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 13(2), pages 11-19, December.
    9. Pope, Rulon D., 1982. "To Dual Or Not To Dual?," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 7(2), pages 1-16, December.
    10. Tae Hoon Oum, 1979. "A Warning on the Use of Linear Logit Models in Transport Mode Choice Studies," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 374-388, Spring.
    11. Lopez, Ramon E., 1982. "Applications Of Duality Theory To Agriculture," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 7(2), pages 1-14, December.
    12. Fuller, Stephen W. & Shanmugham, Chiyyarath V., 1981. "Effectiveness Of Competition To Limit Rail Rate Increases Under Deregulation: The Case Of Wheat Exports From The Southern Plains," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 13(2), pages 1-9, December.
    13. Friedlaender, Ann F & Spady, Richard H, 1980. "A Derived Demand Function for Freight Transportation," The Review of Economics and Statistics, MIT Press, vol. 62(3), pages 432-441, August.
    14. BARTEN, Anton P., 1969. "Maximum likelihood estimation of a complete system of demand equations," LIDAM Reprints CORE 34, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    15. Barten, A. P., 1969. "Maximum likelihood estimation of a complete system of demand equations," European Economic Review, Elsevier, vol. 1(1), pages 7-73.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wilson, William W., 1994. "Demand For Wheat Classes By Pacific Rim Countries," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 19(01), pages 1-13, July.
    2. Wilson, William W. & Wilson, Wesley W. & Koo, Won W., 1987. "Intermodal Competition and Pricing in Grain Transportation: A Description and Comparison of Methods," Agricultural Economics Reports 23194, North Dakota State University, Department of Agribusiness and Applied Economics.
    3. Jo, Jungkeon & Secor, William, 2022. "Demand for Rail Transportation of Grain to the Southeastern U.S," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322453, Agricultural and Applied Economics Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wilson, William W., 1982. "Estimation of Demand Elasticities for Transportation Modes in Grain Transportation," Agricultural Economics Reports 23266, North Dakota State University, Department of Agribusiness and Applied Economics.
    2. Wilson, William W. & Wilson, Wesley W. & Koo, Won W., 1987. "Intermodal Competition and Pricing in Grain Transportation: A Description and Comparison of Methods," Agricultural Economics Reports 23194, North Dakota State University, Department of Agribusiness and Applied Economics.
    3. Barnett, William A. & Serletis, Apostolos, 2008. "Consumer preferences and demand systems," Journal of Econometrics, Elsevier, vol. 147(2), pages 210-224, December.
    4. Barnett, William A. & Serletis, Apostolos, 2008. "The Differential Approach to Demand Analysis and the Rotterdam Model," MPRA Paper 12319, University Library of Munich, Germany.
    5. Holt, Matthew T., 2002. "Inverse demand systems and choice of functional form," European Economic Review, Elsevier, vol. 46(1), pages 117-142, January.
    6. Apostolos Serletis, 2012. "Interfuel Substitution in the United States," World Scientific Book Chapters, in: Interfuel Substitution, chapter 2, pages 11-35, World Scientific Publishing Co. Pte. Ltd..
    7. Marc-Andreas Muendler & Sascha O. Becker, 2010. "Margins of Multinational Labor Substitution," American Economic Review, American Economic Association, vol. 100(5), pages 1999-2030, December.
    8. William A. Barnett & Isaac Kalonda Kanyama, 2013. "Time-varying parameters in the almost ideal demand system and the Rotterdam model: will the best specification please stand up?," Applied Economics, Taylor & Francis Journals, vol. 45(29), pages 4169-4183, October.
    9. Serletis, Apostolos & Xu, Libo, 2020. "Functional monetary aggregates, monetary policy, and business cycles," Journal of Economic Dynamics and Control, Elsevier, vol. 121(C).
    10. Dan Berry & Franklin Mixon, 1999. "Multiproduct Outputs and Scale Economies in Electric Power Production: Some New Estimates," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 15(1), pages 65-76, August.
    11. Apostolos Serletis & Maksim Isakin, 2017. "Stochastic volatility demand systems," Econometric Reviews, Taylor & Francis Journals, vol. 36(10), pages 1111-1122, November.
    12. Ewis, Nabil A., 1983. "A Neoclassical Analysis of the Demand for Cereals in Egypt," Working Papers 243426, University of California, Davis, Agricultural Development Systems: Egypt Project.
    13. Jourquin, Bart, 2025. "Direct and cross cost elasticity estimations for freight transport in Europe using constructed dependent variables," Research in Transportation Economics, Elsevier, vol. 111(C).
    14. Jourquin, Bart & Beuthe, Michel, 2019. "Cost, transit time and speed elasticity calculations for the European continental freight transport," Transport Policy, Elsevier, vol. 83(C), pages 1-12.
    15. Apostolos Serletis & Libo Xu, 2020. "Demand systems with heteroscedastic disturbances," Empirical Economics, Springer, vol. 58(4), pages 1913-1921, April.
    16. Barnett, William A. & Serletis, Apostolos, 2008. "Measuring Consumer Preferences and Estimating Demand Systems," MPRA Paper 12318, University Library of Munich, Germany.
    17. Moschini, GianCarlo & Moro, D., 1993. "Food Demand System for Canada, A," Staff General Research Papers Archive 12753, Iowa State University, Department of Economics.
    18. Canali, Gabriele, 1990. "Demand for meats in European Community member countries: a systems approach," ISU General Staff Papers 1990010108000017621, Iowa State University, Department of Economics.
    19. Abdullah, Maisom, 1989. "Capital-labor substitutability in Malaysian manufacturing: alternative estimates and policy implications," ISU General Staff Papers 198901010800009905, Iowa State University, Department of Economics.
    20. William A. Barnett & Ikuyasu Usui, 2007. "The Theoretical Regularity Properties of the Normalized Quadratic Consumer Demand Model," International Symposia in Economic Theory and Econometrics, in: Functional Structure Inference, pages 107-127, Emerald Group Publishing Limited.

    More about this item

    Keywords

    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:wjagec:32135. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/waeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.