IDEAS home Printed from https://ideas.repec.org/a/eee/transe/v44y2008i4p653-663.html
   My bibliography  Save this article

International trade and air cargo: Analysis of US export and air transport policy

Author

Listed:
  • Yamaguchi, Katsuhiro

Abstract

Distance and transport cost matters for international trade but which is more relevant? What impact does transport policy such as Open Sky have on cost of trade? Using US export data by air transport with 21 trading partners for 1998-2002 we first find that airfare is more significantly correlated with export than distance and that elasticity of export in ad-valorem with respect to airfare is -0.571. Second, the level of unit cost and market concentration has significant positive effect on airfare. Third, air cargo markets with Open Sky Agreements have lower unit cost but higher market concentration, and these agreements have negative dynamic effect on combined index of unit cost and market concentration. We may need to go beyond Open Skies if we are to pursue further enhancement of competitive forces in air cargo market to facilitate international trade.

Suggested Citation

  • Yamaguchi, Katsuhiro, 2008. "International trade and air cargo: Analysis of US export and air transport policy," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 44(4), pages 653-663, July.
    • Handle: RePEc:eee:transe:v:44:y:2008:i:4:p:653-663
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1366554507000506
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

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


    Cited by:

    1. Chen, Jieh-Haur & Wei, Hsi-Hsien & Chen, Chih-Lin & Wei, Hsin-Yi & Chen, Yi-Ping & Ye, Zhongnan, 2020. "A practical approach to determining critical macroeconomic factors in air-traffic volume based on K-means clustering and decision-tree classification," Journal of Air Transport Management, Elsevier, vol. 82(C).
    2. Alexander, D.W. & Merkert, R., 2021. "Applications of gravity models to evaluate and forecast US international air freight markets post-GFC," Transport Policy, Elsevier, vol. 104(C), pages 52-62.
    3. Thanh Ngo & Kan Wai Hong Tsui, 2022. "Estimating the confidence intervals for DEA efficiency scores of Asia-Pacific airlines," Operational Research, Springer, vol. 22(4), pages 3411-3434, September.
    4. Alkaabi, Khaula A. & Debbage, Keith G., 2011. "The geography of air freight: connections to U.S. metropolitan economies," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1517-1529.
    5. Ching-Cheng Chao & Taih-Cherng Lirn & Kuo-Chung Shang, 2013. "Market segmentation of airline cargo transport," The Service Industries Journal, Taylor & Francis Journals, vol. 33(15-16), pages 1672-1685, December.
    6. Oum, Tae Hoon & Wang, Kun & Yan, Jia, 2019. "Measuring the effects of open skies agreements on bilateral passenger flow and service export and import trades," Transport Policy, Elsevier, vol. 74(C), pages 1-14.
    7. Chang, Li-Yen, 2014. "Analysis of bilateral air passenger flows: A non-parametric multivariate adaptive regression spline approach," Journal of Air Transport Management, Elsevier, vol. 34(C), pages 123-130.
    8. Sun, Ya-Fang & Zhang, Yue-Jun & Su, Bin, 2022. "How does global transport sector improve the emissions reduction performance? A demand-side analysis," Applied Energy, Elsevier, vol. 311(C).
    9. Liu, Shaoxuan & Oum, Tae Hoon, 2018. "Prospects for air policy liberalization in China as a Result of China-ASEAN Open Skies: Changing role of Chinese mega carriers in global scene and anticipated Low Cost Carrier competition," Transport Policy, Elsevier, vol. 72(C), pages 1-9.
    10. Christiana Manu, 2021. "The Impact of Trade Agreement on Agricultural Trade Flow in West Africa," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 13(1), pages 1-89, January.
    11. Katrin Oesingmann, 2022. "The determinants of air cargo flows and the role of multinational agreements: An empirical comparison with trade and air passenger flows," The World Economy, Wiley Blackwell, vol. 45(8), pages 2370-2393, August.
    12. Linda Fernandez, 2010. "Environmental implications of trade liberalization on North American transport services: the case of the trucking sector," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 10(2), pages 133-145, June.
    13. Tsui, Wai Hong Kan & Fung, Michael Ka Yiu, 2016. "Analysing passenger network changes: The case of Hong Kong," Journal of Air Transport Management, Elsevier, vol. 50(C), pages 1-11.
    14. Hwang, Cherng-Chwan & Shiao, Guo-Chou, 2011. "Analyzing air cargo flows of international routes: an empirical study of Taiwan Taoyuan International Airport," Journal of Transport Geography, Elsevier, vol. 19(4), pages 738-744.
    15. Gong, Qiang & Wang, Kun & Fan, Xingli & Fu, Xiaowen & Xiao, Yi-bin, 2018. "International trade drivers and freight network analysis - The case of the Chinese air cargo sector," Journal of Transport Geography, Elsevier, vol. 71(C), pages 253-262.
    16. Aydın, Umut & Ülengin, Burç, 2022. "Analyzing air cargo flows of Turkish domestic routes: A comparative analysis of gravity models," Journal of Air Transport Management, Elsevier, vol. 102(C).
    17. Fageda, Xavier & Fioravanti, Reinaldo & Ricover, Andy & Café, Eduardo & Ansaldo, Mariano, 2023. "Econometric analysis of the determinants of air cargo services supply in Latin America and the Caribbean," Transport Policy, Elsevier, vol. 135(C), pages 33-44.
    18. Wai Hong Kan Tsui & Faruk Balli & David Tat Wei Tan & Oscar Lau & Mudassar Hasan, 2018. "New Zealand business tourism," Tourism Economics, , vol. 24(4), pages 386-417, June.
    19. Chao, Ching-Cheng & Yu, Po-Cheng, 2013. "Quantitative evaluation model of air cargo competitiveness and comparative analysis of major Asia-Pacific airports," Transport Policy, Elsevier, vol. 30(C), pages 318-326.

    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:eee:transe:v:44:y:2008:i:4:p:653-663. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/600244/description#description .

    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.