The dynamics of fleet size and shipping profitability : the role of steel-scrap prices

Andrikopoulos, A. and Merika, A. and Merikas, A. and Tsionas, M. (2020) The dynamics of fleet size and shipping profitability : the role of steel-scrap prices. Maritime Policy and Management, 47 (8). pp. 985-1009. ISSN 0308-8839

[thumbnail of MPMFinal Manuscript2019 (3)]

Text (MPMFinal Manuscript2019 (3))
MPMFinal_Manuscript2019_3_.pdf - Accepted Version
Available under License Creative Commons Attribution-NonCommercial.
Download (807kB)

Abstract

We discover that in each shipping segment the price of scrap, earnings, and the fleet size are jointly determined. Deploying a Vector Error Correction model, we find that international steel-scrap prices explain ship scrap prices, but the price of nickel, crude oil, and seaborne trade have an even higher positive explanatory power on them. This dependence is mainly attributed to the economic nature of the major ship-breaking countries: they are all emerging economies, heavily relying on steel as well as nickel in their development process.

Item Type:

Journal Article

Journal or Publication Title:

Maritime Policy and Management

Additional Information:

This is an Accepted Manuscript of an article published by Taylor & Francis in Maritime Policy and Management on 02/03/2020, available online:https://www.tandfonline.com/doi/full/10.1080/03088839.2020.1735007

Uncontrolled Keywords:

/dk/atira/pure/subjectarea/asjc/2200/2212

Subjects:

?? containersdry bulkship recyclingtankersvector autoregressive modelsocean engineeringmanagement, monitoring, policy and lawtransportationgeography, planning and development ??

Departments:

Lancaster University Management School > Economics

ID Code:

142579

Deposited By:

ep_importer_pure

Deposited On:

20 Mar 2020 14:10

Refereed?:

Yes

Published?:

Published

Last Modified:

16 Mar 2024 00:56

URI:

https://eprints.lancs.ac.uk/id/eprint/142579