Shipping Problems of Developing Countries
Economists have long realised that access costs play an important role in limiting developing countries’ exports to industrial markets. However, while most previous empirical studies aimed at evaluating these barriers have focused on artificial trade control measures such as tariffs, transportation costs pose a formidable restraint for some items. The neglect of transportation costs may have been due to a lack of available data on their incidence, or to the (erroneous) assumption that these charges are exogenous variables outside the direct control of policymakers. Another reason for the neglect may have been the presumption that the influence of transport costs, relative to tariff or nontariff barriers, is generally small.
KeywordsTransport Cost Shipping Cost Freight Rate Supply Schedule Freight Cost
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