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A non-structural test for competition in the container liner shipping industry
Sys, C.; Meersman, H.; Van de Voorde, E. (2010). A non-structural test for competition in the container liner shipping industry, in: Proceedings of the 12th World Conference on Transport Research (WCTR), July 11-15, 2010, Lisbon, Portugal. pp. 1-19
In: (2010). Proceedings of the 12th World Conference on Transport Research (WCTR), July 11-15, 2010, Lisbon, Portugal. WCTRS: Lisbon.

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Documenttype: Congresbijdrage

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Auteurs  Top 
  • Sys, C.
  • Meersman, H.
  • Van de Voorde, E.

Abstract
    This paper examines the competitive conditions of the containerised liner shipping industry. The degree of competition prevailing in this industry will be assessed using the H-statistic proposed by Panzar and Rosse (1987). The properties of this non-structural methodology (e.g. using firm level data, robustness in small samples, no need to specify a relevant market, etc.) make it an excellent framework for assessing the degree of competition in the containerised liner shipping industry. The empirical specifications are based on an unbalanced panel of data regarding a sample of 18 major liner operators covering the period 1999-2008. The fact that we have found a significantly positive unscaled value of the H-statistic means that the hypothesis can be rejected that the containerised liner shipping industry market structures correspond to a neoclassical monopolist, collusive oligopolist or conjectural-variations short-run oligopolist.

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