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The Optimal Distance to Port for Exporting Firms

  • Gries, Thomas
  • Naude, Wim
  • Matthee, Marianne

Success in international trade depends, amongst other things, on distance from markets. Most new economic geography models focus on the distance between countries. In contrast much less theorizing and empirical analysis have focused on how distances within a country?for instance due to the location behaviour of exporting firms?matter to international trade. In this paper we contribute to the literature on the latter by offering a theoretical model to explain the optimal distance that an export-oriented firm would locate from a port. We present empirical evidence from South Africa in support of the model.

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File URL: http://www.wider.unu.edu/stc/repec/pdfs/rp2008/rp2008-32.pdf
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Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Paper Series with number RP2008/32.

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Length: 18 pages
Date of creation: 2008
Date of revision:
Handle: RePEc:unu:wpaper:rp2008-32
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  1. Fujita, Masahisa & Mori, Tomoya, 1996. "The role of ports in the making of major cities: Self-agglomeration and hub-effect," Journal of Development Economics, Elsevier, vol. 49(1), pages 93-120, April.
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