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Passenger Shipping Cartels and Their Effect on Trans-Atlantic Migration

Author

Listed:
  • George Deltas

    (University of Illinois, Urbana-Champaign, Department of Economics)

  • Richard Sicotte

    (University of Vermont, Department of Economics)

  • Peter Tomczak

    (Baker & McKenzie LLP)

Abstract

We investigate the impact of passenger shipping cartels on trans-Atlantic migration during the early twentieth century. We assemble from primary sources a detailed database of passenger flows and cartel operations and show that cartel operation reduced migratory flows by approximately 20% to 25%. Further, we show that there was no strong intertemporal substitution in migration to North America (at least in the short run) and, therefore, that the effects of cartel operation were not "undone" by later migration. Lastly, we find that cartel operation had no appreciable effect on the variability of migration flows, providing evidence against the notion that unfettered competition was destabilizing to turn-of-the-century transportation markets. Copyright by the President and Fellows of Harvard College and the Massachusetts Institute of Technology.

Suggested Citation

  • George Deltas & Richard Sicotte & Peter Tomczak, 2008. "Passenger Shipping Cartels and Their Effect on Trans-Atlantic Migration," The Review of Economics and Statistics, MIT Press, vol. 90(1), pages 119-133, February.
    • Handle: RePEc:tpr:restat:v:90:y:2008:i:1:p:119-133
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    Cited by:

    1. Emmanuelle Auriol & Alice Mesnard, 2016. "Sale of Visas: a Smuggler's Final Song?," Economica, London School of Economics and Political Science, vol. 83(332), pages 646-678, October.
    2. George Deltas & Richard Sicotte, 2017. "Cartel Organization, Price Discrimination, and Selection of Transatlantic Migrants: 1899–1911," Southern Economic Journal, John Wiley & Sons, vol. 83(3), pages 668-704, January.
    3. Timothy J. Hatton, 2010. "The Cliometrics Of International Migration: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 24(5), pages 941-969, December.
    4. Francesco Giffoni & Matteo Gomellini, 2015. "Brain gain in the age of mass migration," Quaderni di storia economica (Economic History Working Papers) 34, Bank of Italy, Economic Research and International Relations Area.
    5. Bandiera, Oriana & Rasul, Imran & Viarengo, Martina, 2013. "The Making of Modern America: Migratory Flows in the Age of Mass Migration," Journal of Development Economics, Elsevier, vol. 102(C), pages 23-47.
    6. Auriol, A. & Mesnard, A., 2013. "Sale of visas: a smuggler's final song?," Working Papers 13/06, Department of Economics, City University London.
    7. Emmanuelle Auriol & Alice Mesnard, 2016. "Sale of Visas: a Smuggler's Final Song?," Economica, London School of Economics and Political Science, vol. 83(332), pages 646-678, October.
    8. Timothy J. Hatton, 2019. "Emigration from the UK 1870-1913: Quantity and Quality," CEH Discussion Papers 07, Centre for Economic History, Research School of Economics, Australian National University.
    9. Timothy J. Hatton, 2021. "Emigration from the United Kingdom to the United States, Canada and Australia/New Zealand, 1870–1913: Quantity and quality," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 61(2), pages 136-158, July.

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