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Author:Dalal, A. J.
Katz, E.
Title:The multi-market firm, transportation costs, and the separation of the output and allocation decisions
Journal:Oxford Economic Papers
2003 : OCT, VOL. 55:4, p. 644-656
Index terms:Transport costs
Risk aversion
Domestic services
International transport
Language:eng
Abstract:The authors analyzed the effects of transport costs for a risk averse, competitive firm selling a single good in a domestic and foreign market, and show that these effects are asymmetric. They find that the firm's activity can be insulated from forign uncertainties by government policies that focus on the shape of the domestic transportation cost function.
SCIMA record nr: 250995
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