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Exports and International Logistics / Alberto Behar
World Bank Open Knowledge Repository (formerly "World Bank E-Library Publications") Available online
View online- Format:
- Book
- Government document
- Author/Creator:
- Behar, Alberto
- Series:
- Policy research working papers.
- World Bank e-Library.
- Language:
- English
- Subjects (All):
- Common Carriers Industry.
- Economic Theory & Research.
- Firm Heterogeneity.
- Free Trade.
- Gravity.
- International Economics & Trade.
- Logistics.
- Multilateral Resistance.
- Trade Facilitation.
- Trade Law.
- Trade Policy.
- Local Subjects:
- Common Carriers Industry.
- Economic Theory & Research.
- Firm Heterogeneity.
- Free Trade.
- Gravity.
- International Economics & Trade.
- Logistics.
- Multilateral Resistance.
- Trade Facilitation.
- Trade Law.
- Trade Policy.
- Physical Description:
- 1 online resource (38 pages)
- Place of Publication:
- Washington, D.C., The World Bank, 2011
- System Details:
- data file
- Summary:
- Do better international logistics reduce trade costs, raising a developing country's exports? Yes, but the magnitude of the effect depends on the country's size. The authors apply a gravity model that accounts for firm heterogeneity and multilateral resistance to a comprehensive new international logistics index. A one-standard deviation improvement in logistics is equivalent to a 14 percent reduction in distance. An average-sized developing country would raise exports by about 36 percent. Most countries are much smaller than average however, so the typical effect is 8 percent. This difference is chiefly due to multilateral resistance: it is bilateral trade costs relative to multilateral trade costs that matter for bilateral exports, and multilateral resistance is more important for small countries.
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