🚨 Job Market Paper Alert! 🚨 🛫 🚢🗺️
How do countries adapt when certain transport modes become more expensive❓
My job market paper investigates how nations substitute between air and sea transport to mitigate the effects of transport cost shocks. #Econsky #EconJMP 1/9
How do countries adapt when certain transport modes become more expensive❓
My job market paper investigates how nations substitute between air and sea transport to mitigate the effects of transport cost shocks. #Econsky #EconJMP 1/9
Comments
Quoting @unctad.bsky.social’s latest Review of Maritime Transport: “Global maritime chokepoints are under pressure, exposing the vulnerability of supply chains.” 2/9
1️) How do shocks to specific transport modes influence international trade?
2️) How crucial is substitution between transport modes for welfare?
3/9
1️) I Estimate the elasticity of substitution between transport modes, leveraging Russia’s airspace closure.
2️) I Combine this estimate with a Ricardian model that accounts for multiple transport modes, substitution, and endogenous costs to simulate policy scenarios. 4/9
This underscores the importance of having viable transport alternatives. 5/9
🛫 Developed countries are more exposed to higher air transport costs.
🚢 Low- and middle-income countries suffer more from maritime shocks. 6/9
Relying on carbon-intensive air transport to offset rising sea costs can increase emissions, undermining the effectiveness of policies targeting maritime trade. 7/9