Indirect Transportation Cost in the border crossing process: The United States–Mexico trade

Using a Social Accounting Matrix as database, a Computable General Equilibrium model is implemented in order to estimate the Indirect Transportations Costs (ITC) present in the border crossing for the U.S.–Mexico bilateral trade. Here, an “iceberg–type” transportation function is assumed to determin...

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Bibliographic Details
Main Author: Carlos Obed Figueroa Ortiz
Format: Article
Language:English
Published: Universidad Autonoma de Baja California 2015-12-01
Series:Estudios Fronterizos
Subjects:
Online Access:http://ref.uabc.mx/ojs/index.php/ref/article/view/566
Description
Summary:Using a Social Accounting Matrix as database, a Computable General Equilibrium model is implemented in order to estimate the Indirect Transportations Costs (ITC) present in the border crossing for the U.S.–Mexico bilateral trade. Here, an “iceberg–type” transportation function is assumed to determine the amount of loss that must be faced as a result of border crossing process through the ports of entry existing between the two countries. The study period covers annual data from 1995 to 2009 allowing the analysis of the trend of these costs considering the trade liberalisation that is experienced. Results show that the ITC have experienced a decrease of 12% during the period.Test
ISSN:0187-6961
2395-9134