The World Is Not Yet Flat: Transport Costs Matter!

A-Tier
Journal: Review of Economics and Statistics
Year: 2018
Volume: 100
Issue: 4
Pages: 712-724

Authors (3)

Kristian Behrens (Université du Québec à Montréa...) W. Mark Brown (not in RePEc) Théophile Bougna (not in RePEc)

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Using microlevel commodity flow data and microgeographic plant-level data, we construct industry-specific ad valorem trucking rate series and measures of geographic concentration to provide evidence on the relationship between transport costs and agglomeration. We find that low-transport-cost industries display significantly more geographic concentration in the cross-sectional dimension and that falling transport costs agglomerate industries in the panel dimension. The effects are large: the fall in trucking rates between 1992 and 2008 implied a 20% increase in geographic concentration on average, all else equal.

Technical Details

RePEc Handle
repec:tpr:restat:v:100:y:2018:i:4:p:712-724
Journal Field
General
Author Count
3
Added to Database
2026-01-24