A Multioutput Cost Function for Port Terminals

Download or read book A Multioutput Cost Function for Port Terminals written by Lourdes Trujillo and published by World Bank Publications. This book was released on 2003 with total page 27 pages. Available in PDF, EPUB and Kindle. Book excerpt: Cargo handling in ports is a multioutput activity, as freight can arrive in many forms such as containers, bulk, rolling stock, or noncontainerized general cargo. In this paper Tovar, Jara-Díaz, and Trujillo analyze the operation of port terminals through the estimation of a multioutput cost model that uses monthly data on three firms located at the Las Palmas port in Spain. This permits the calculation of product-specific marginal costs, economies of scale (general and by firm), and economies of scope, which are key tools to help the regulators in their task. This paper--a product of the Infrastructure Vice Presidency--is part of a larger effort in the vice presidency to promote analytical work on the economic analysis of the sector.