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Port economic cost functions: A service perspective

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  • Talley, Wayne K.
  • Ng, ManWo

Abstract

Ports provide services rather than producing physical products. However, port cost functions specify port cost as functions of physical products, e.g., port cargo throughput long-run cost is a function of port resource prices and cargo throughput (a physical product). In comparison, port cargo service long-run cost is a function of port resource prices, cargo service and shipper cargo received. The shipper provides cargo that is serviced by the port. A service cannot be touched and its user is involved in its provision. This paper derives port cost functions for which port outputs are “service outputs”, e.g., cargo, vessel and vehicle services.

Suggested Citation

  • Talley, Wayne K. & Ng, ManWo, 2016. "Port economic cost functions: A service perspective," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 88(C), pages 1-10.
    • Handle: RePEc:eee:transe:v:88:y:2016:i:c:p:1-10
    DOI: 10.1016/j.tre.2015.12.002
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    References listed on IDEAS

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    1. Talley, Wayne K. & Ng, ManWo & Marsillac, Erika, 2014. "Port service chains and port performance evaluation," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 69(C), pages 236-247.
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    Cited by:

    1. Talley, Wayne K. & Ng, ManWo, 2023. "Shipper economic demand function for cargo port services: A note," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 170(C).
    2. Saidi, Samir & Mani, Venkatesh & Mefteh, Haifa & Shahbaz, Muhammad & Akhtar, Pervaiz, 2020. "Dynamic linkages between transport, logistics, foreign direct Investment, and economic growth: Empirical evidence from developing countries," Transportation Research Part A: Policy and Practice, Elsevier, vol. 141(C), pages 277-293.
    3. Talley, Wayne K. & Ng, ManWo, 2016. "Port multi-service congestion," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 94(C), pages 66-70.
    4. Bin Meng & Haibo Kuang & Erxuan Niu & Jing Li & Zhenhui Li, 2020. "Research on the Transformation Path of the Green Intelligent Port: Outlining the Perspective of the Evolutionary Game “Government–Port–Third-Party Organization”," Sustainability, MDPI, vol. 12(19), pages 1-25, September.
    5. Talley, Wayne K. & Ng, ManWo, 2018. "Hinterland transport chains: A behavioral examination approach," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 113(C), pages 94-98.
    6. Sun, Jiasen & Yuan, Yang & Yang, Rui & Ji, Xiang & Wu, Jie, 2017. "Performance evaluation of Chinese port enterprises under significant environmental concerns: An extended DEA-based analysis," Transport Policy, Elsevier, vol. 60(C), pages 75-86.
    7. ManWo Ng & Wayne K. Talley, 2017. "Chassis inventory management at U.S. container ports:modelling and case study," International Journal of Production Research, Taylor & Francis Journals, vol. 55(18), pages 5394-5404, September.
    8. Shiqi Fan & Zaili Yang & Eduardo Blanco-Davis & Jinfen Zhang & Xinping Yan, 2020. "Analysis of maritime transport accidents using Bayesian networks," Journal of Risk and Reliability, , vol. 234(3), pages 439-454, June.
    9. Talley, Wayne K. & Ng, ManWo, 2021. "Cargo port choice equilibrium: A multi-perspective look at shippers’ port choice," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 154(C).

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