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The economics of port authority reform. A framework for ex-post evaluation

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  • VERHOEVEN, Patrick
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    The activities of a port authority form but one of several factors that can contribute to the competitiveness of a port. A port authority can increase its contribution by optimising the various functions it performs in a facilitating and entrepreneurial manner. Port authority reform matters in that it must set the right governance framework for port authorities to achieve their full potential contribution to the competitiveness of their ports. The objective of this paper is to complement existing literature and empirical research on the role of port authorities with a theoretical perspective on how to measure the specific economic impact of port authority reform and understand the process of reform and post-reform governance. The paper outlines a comprehensive analytical framework to assess both elements in a quantitative and qualitative manner. The centerpiece of the framework is based on welfare economics concepts. It introduces a methodology based on techniques of cost-benefit analysis and generalised costs to measure the economic impact of port authority reform on the competitiveness of a port. The application of the framework for ex-post evaluation will allow policy-makers to identify areas of further improvement and will offer useful insights for those envisaging new reform schemes.

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    Paper provided by University of Antwerp, Faculty of Applied Economics in its series Working Papers with number 2014017.

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    Length: 28 pages
    Date of creation: Aug 2014
    Handle: RePEc:ant:wpaper:2014017
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    1. Wolf, C. & Pollitt, M.G., 2009. "The Welfare Implications of Oil Privatisation: A Cost-Benefit Analysis of Norway’s Statoil," Cambridge Working Papers in Economics 0912, Faculty of Economics, University of Cambridge.
    2. Patrick Verhoeven, 2009. "European ports policy: meeting contemporary governance challenges," Maritime Policy & Management, Taylor & Francis Journals, vol. 36(1), pages 79-101, February.
    3. Adolf K Y Ng & Athanasios A Pallis, 2010. "Port governance reforms in diversified institutional frameworks: generic solutions, implementation asymmetries," Environment and Planning A, Pion Ltd, London, vol. 42(9), pages 2147-2167, September.
    4. Peter W. de Langen & Christiaan Heij, 2014. "Corporatisation and Performance: A Literature Review and an Analysis of the Performance Effects of the Corporatisation of Port of Rotterdam Authority," Transport Reviews, Taylor & Francis Journals, vol. 34(3), pages 396-414, May.
    5. Michael G. Pollitt & Andrew S. J. Smith, 2002. "The restructuring and privatisation of British Rail: was it really that bad?," Fiscal Studies, Institute for Fiscal Studies, vol. 23(4), pages 463-502, December.
    6. María Manuela González & Lourdes Trujillo, 2009. "Efficiency Measurement in the Port Industry: A Survey of the Empirical Evidence," Journal of Transport Economics and Policy, University of Bath, vol. 43(2), pages 157-192, May.
    7. Leroy P. Jones & Pankaj Tandon & Ingo Vogelsang, 1990. "Selling Public Enterprises: A Cost/Benefit Methodology," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262600625, January.
    8. Patrick Verhoeven & Thomas Vanoutrive, 2012. "A quantitative analysis of European port governance," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 14(2), pages 178-203, June.
    9. Winston, Clifford, 1993. "Economic Deregulation: Days of Reckoning for Microeconomists," Journal of Economic Literature, American Economic Association, vol. 31(3), pages 1263-1289, September.
    10. Patrick Verhoeven, 2010. "A review of port authority functions: towards a renaissance?," Maritime Policy & Management, Taylor & Francis Journals, vol. 37(3), pages 247-270, May.
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