Paving the road to export: the trade impacts of domestic transport costs and road quality
The literature examining the effects of domestic transport costs on trade flows is scarce. The few studies available rely mostly on distance-based measures as proxies of transport costs which impede analyzing the trade impacts of transport-infrastructure improvements, a critical aspect in regional and public policy. Applying a novel methodology that combines real freight costs and Geographic Information System (GIS) analysis to the case of Colombia, this paper measures the extent to which domestic transport costs -from the place of production to the port of shipment- act as a friction to international trade. Domestic transport costs are found to significantly affect the prospects of exporting. For instance, regions within the country with transport costs in the 25th percentile export around 2.3 times more than regions with transport costs in the 75th percentile, once other factors are controlled for. Export increases from road improvements are found to be larger in regions with initially higher transport costs. This is because regions with initially higher transport costs are normally associated with longer routes and those tend to have larger shares of roads in poor conditions
|Date of creation:||25 Aug 2010|
|Date of revision:|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Sofronis Clerides & Saul Lach & James Tybout, 1996.
"Is "learning-by-exporting" important? Micro-dynamic evidence from Colombia, Mexico and Morocco,"
Finance and Economics Discussion Series
96-30, Board of Governors of the Federal Reserve System (U.S.).
- Sofronis K. Clerides & Saul Lach & James R. Tybout, 1998. "Is Learning by Exporting Important? Micro-Dynamic Evidence from Colombia, Mexico, and Morocco," The Quarterly Journal of Economics, Oxford University Press, vol. 113(3), pages 903-947.
- Sofronis Clerides & Saul Lach & James Tybout, 1996. "Is "Learning-by-Exporting" Important? Micro-Dynamic Evidence from Colombia, Mexico and Morocco," NBER Working Papers 5715, National Bureau of Economic Research, Inc.
- Krugman, Paul & Venables, Anthony J, 1994.
"Globalization and the Inequality of Nations,"
CEPR Discussion Papers
1015, C.E.P.R. Discussion Papers.
- Paul Krugman & Anthony J. Venables, 1995. "Globalization and the Inequality of Nations," NBER Working Papers 5098, National Bureau of Economic Research, Inc.
- Krugman, Paul & Venables, Anthony J., 1995. "Globalization and the Inequality of Nations," Working Paper Series 430, Research Institute of Industrial Economics.
- Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992.
"Growth in Cities,"
Journal of Political Economy,
University of Chicago Press, vol. 100(6), pages 1126-52, December.
- Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
- Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
- Venables, Anthony J, 1996.
"Equilibrium Locations of Vertically Linked Industries,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 37(2), pages 341-59, May.
- Venables, Anthony J, 1993. "Equilibrium Locations of Vertically Linked Industries," CEPR Discussion Papers 802, C.E.P.R. Discussion Papers.
- Anthony J. Venables, 1993. "Equilibrium Locations of Vertically Linked Industries," CEP Discussion Papers dp0137, Centre for Economic Performance, LSE.
- repec:hhs:iuiwop:430 is not listed on IDEAS
- repec:pse:psecon:2008-13 is not listed on IDEAS
- Marianne Matthee & Wim NaudÃ©, 2008.
"The Determinants of Regional Manufactured Exports from a Developing Country,"
International Regional Science Review,
, vol. 31(4), pages 343-358, October.
- Matthee, Marianne & Naude, Wim, 2007. "The Determinants of Regional Manufactured Exports from a Developing Country," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
- Roberto Alvarez & Ricardo López, 2005. "Exporting and performance: evidence from Chilean plants," Canadian Journal of Economics, Canadian Economics Association, vol. 38(4), pages 1384-1400, November.
- Miren Lafourcade & Pierre-Philippe Combes, 2005.
"Transport Costs: Measures, Determinants and Regional Policy Implications for France,"
- Pierre-Philippe Combes & Miren Lafourcade, 2005. "Transport costs: measures, determinants, and regional policy implications for France," Journal of Economic Geography, Oxford University Press, vol. 5(3), pages 319-349, June.
- Clark, Ximena & Dollar, David & Micco, Alejandro, 2004.
"Port efficiency, maritime transport costs, and bilateral trade,"
Journal of Development Economics,
Elsevier, vol. 75(2), pages 417-450, December.
- Ximena Clark & David Dollar & Alejandro Micco, 2004. "Port Efficiency, Maritime Transport Costs and Bilateral Trade," NBER Working Papers 10353, National Bureau of Economic Research, Inc.
- M. Teresa Costa-Campi & Elisabet Viladecans-Marsal, 1999. "The District Effect and the Competitiveness of Manufacturing Companies in Local Productive Systems," Urban Studies, Urban Studies Journal Limited, vol. 36(12), pages 2085-2098, November.
- Miren Lafourcade & Elisenda Paluzie, 2011.
"European integration, FDI and the Geography of French Trade,"
- Miren Lafourcade & Elisenda Paluzie, 2008. "European integration, FDI and the geography of French trade," PSE Working Papers halshs-00586834, HAL.
- Hummels, David, 1999. "Toward a Geography of Trade Costs," GTAP Working Papers 1162, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:24625. 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: (Joachim Winter)
If references are entirely missing, you can add them using this form.