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The State‐by‐State Economic Impacts of the 2002 Shutdown of the Los Angeles–Long Beach Ports

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  • JIYOUNG PARK
  • PETER GORDON
  • JAMES E. MOORE II
  • HARRY W. RICHARDSON

Abstract

In previous research, the economic impacts of temporary shutdowns of the Los Angeles–Long Beach harbors were simulated after a hypothetical terrorist attack, applying the National Interstate Economic Model to estimate state‐by‐state as well as interindustry impacts. However, the unpredictable characteristic of terrorist attacks might not be applicable to the case of a ports shutdown such as the one caused by the lockout of September–October 2002. Market participants can be expected to have contingency plans based on anticipations of a strike or shutdown. Can we identify any of these in terms of the use of alternate ports, in terms of alternate modes or even alternate time periods? The purpose of this study is to examine these questions. The approach is elaborated by testing for the possible effects of trade diversion to other West Coast ports, transportation modes, and intertemporal substitutions. We use data from WISERTrade describing commodity‐specific trade for the major West Coast ports before, during, and after the 11‐day shutdown of the fall of 2002. Shippers’ ability to divert trade is a key ingredient in the economy's ability to withstand attacks and disruptions. The work estimates the impacts on 47 industrial sectors across 50 states (and the District of Columbia).

Suggested Citation

  • Jiyoung Park & Peter Gordon & James E. Moore Ii & Harry W. Richardson, 2008. "The State‐by‐State Economic Impacts of the 2002 Shutdown of the Los Angeles–Long Beach Ports," Growth and Change, Wiley Blackwell, vol. 39(4), pages 548-572, December.
  • Handle: RePEc:bla:growch:v:39:y:2008:i:4:p:548-572
    DOI: 10.1111/j.1468-2257.2008.00446.x
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    References listed on IDEAS

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    1. Peter V. Hall, 2004. "“We’d Have to Sink the Ships†: Impact Studies and the 2002 West Coast Port Lockout," Economic Development Quarterly, , vol. 18(4), pages 354-367, November.
    2. Park, Jiyoung & Park, Changkeun & Nam, Sangjeong, 2006. "The State-by-State Effects of Mad Cow Disease Using a New MRIO Model," 2006 Annual meeting, July 23-26, Long Beach, CA 21328, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Duncan, Craig & Jones, Kelvyn & Moon, Graham, 1993. "Do places matter? A multi-level analysis of regional variations in health-related behaviour in Britain," Social Science & Medicine, Elsevier, vol. 37(6), pages 725-733, September.
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    2. Hess, Daniel Baldwin & Norton, J. Travis & Park, JiYoung & Street, Debra A., 2016. "Driving decisions of older adults receiving meal delivery: The influence of individual characteristics, the built environment, and neighborhood familiarity," Transportation Research Part A: Policy and Practice, Elsevier, vol. 88(C), pages 73-85.
    3. Jasper Verschuur & Raghav Pant & Elco Koks & Jim Hall, 2022. "A systemic risk framework to improve the resilience of port and supply-chain networks to natural hazards," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 24(3), pages 489-506, September.
    4. Rose, Adam & Wei, Dan & Paul, Donald, 2018. "Economic consequences of and resilience to a disruption of petroleum trade: The role of seaports in U.S. energy security," Energy Policy, Elsevier, vol. 115(C), pages 584-615.
    5. Park, JiYoung & Cho, JoongKoo & Gordon, Peter & Moore, James E. & Richardson, Harry W. & Yoon, SungSu, 2011. "Adding a freight network to a national interstate input–output model: a TransNIEMO application for California," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1410-1422.
    6. Hossain, Niamat Ullah Ibne & Nur, Farjana & Hosseini, Seyedmohsen & Jaradat, Raed & Marufuzzaman, Mohammad & Puryear, Stephen M., 2019. "A Bayesian network based approach for modeling and assessing resilience: A case study of a full service deep water port," Reliability Engineering and System Safety, Elsevier, vol. 189(C), pages 378-396.

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