ESTIMATING THE DERIVED DEMAND FOR TRANSPORT: A GRAVITY MODEL APPROACH

The objective of this study is to quantify the demand for refrigerated truck transportation of port exports from Alberta, Saskatchewan, Manitoba, Ontario, and Quebec to the United States. The specific objectives are to (1) empirically estimate the effects of transport costs on the opportunities for marketing pork from major export provinces to the United States and (2) identify potential markets in the United States where exports from Canada could be increased. The demand for transport is estimated using a gravity model. The estimate method is SAS/STAT/REG. A theoretical model is presented that shows how the gravity model is the same as the derived demand for transport. The empirical gravity model is constructed using Canadian port exports to the United States to estimate the derived demand for transport. The model is employed to identify the potential markets for the five major export provinces.

Language

  • English

Media Info

  • Features: References; Tables;
  • Pagination: p. 215-228

Subject/Index Terms

Filing Info

  • Accession Number: 00797135
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Aug 14 2001 12:00AM