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Path dependence in port choice: some quasi-experimental evidence

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  • Hangtian Xu
  • Hidekazu Itoh

Abstract

This study analyzes the port choice dynamics of Japanese container shippers before and after the 1995 Great Hanshin earthquake, which destroyed Japan’s largest port. We find that the earthquake disintegrated some transportation networks that had initially been maintained because of path dependence. At the same time, it led to establishing a new path dependence. They jointly explain why the negative impact of the earthquake on the damaged port is persistent rather than temporary.

Suggested Citation

  • Hangtian Xu & Hidekazu Itoh, 2020. "Path dependence in port choice: some quasi-experimental evidence," Applied Economics Letters, Taylor & Francis Journals, vol. 27(10), pages 823-830, June.
    • Handle: RePEc:taf:apeclt:v:27:y:2020:i:10:p:823-830
    DOI: 10.1080/13504851.2019.1646397
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