Econometric estimation of scale and scope economies within the port sector: a review
Seaports provide multiple services to ships, cargo and passengers. The size of the port and type of service they offer are two key elements when deciding whether competition is feasible and how to promote it or, conversely, regulation is needed. Analysing this requires a profound knowledge of the cost structure of the activity involved. This means not only knowing total costs for different volumes of aggregated traffic, but also the behaviour of costs when part of the bundle is produced, i.e. when the mix changes. The optimal organization of the industry can be studied by means of cost and production functions. This paper offers a review of the relatively scarce literature about econometric ports’ cost structure, and highlights the role of the multioutput approach as the correct one because it allows the calculation of key cost indicators (economies of scale, scope and so forth) to determine the optimal port industrial structure for a given forecast of demand (traffic mix and volume).
(This abstract was borrowed from another version of this item.)
|Date of creation:||2007|
|Date of revision:|
|Contact details of provider:|| Postal: Department of Economics, Social Sciences Building, City University London, Whiskin Street, London, EC1R 0JD, United Kingdom,|
Phone: +44 (0)20 7040 8500
Web page: http://www.city.ac.uk
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:cty:dpaper:07/04. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Research Publications Librarian)
If references are entirely missing, you can add them using this form.