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Slacks determinants in Brazilian railways: a distance friction minimization approach with fixed factors

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  • Peter Wanke
  • Barros

Abstract

This study investigates the drivers for output-increasing/input-saving potentials in the Brazilian railway industry, which has undergone significant transformations since its privatization in the mid-1990s. The main research objective is to determine whether or not different types of cargoes and geographic regions serviced present a significant impact on railway slacks by applying a distance friction minimization (DFM) approach with fixed factors. Based on a balanced panel model, secondary data from the period 2004 to 2012 were collected and analysed. Results support anecdotal evidence regarding a heterogeneous impact of types of cargo and geographic location on input-reducing and output-increasing potentials, besides network length and average speed. Policy implications for railway authorities are also addressed by focusing on the specifics of each railway operator.

Suggested Citation

  • Peter Wanke & Barros, 2015. "Slacks determinants in Brazilian railways: a distance friction minimization approach with fixed factors," Applied Economics, Taylor & Francis Journals, vol. 47(47), pages 5103-5120, October.
  • Handle: RePEc:taf:applec:v:47:y:2015:i:47:p:5103-5120
    DOI: 10.1080/00036846.2015.1042145
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    Cited by:

    1. Marchetti, Dalmo & Wanke, Peter F., 2019. "Efficiency in rail transport: Evaluation of the main drivers through meta-analysis with resampling," Transportation Research Part A: Policy and Practice, Elsevier, vol. 120(C), pages 83-100.
    2. Xiong, Beibei & Chen, Haoxun & An, Qingxian & Wu, Jie, 2019. "A multi-objective distance friction minimization model for performance assessment through data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 279(1), pages 132-142.
    3. Marchetti, Dalmo & Wanke, Peter, 2017. "Brazil's rail freight transport: Efficiency analysis using two-stage DEA and cluster-driven public policies," Socio-Economic Planning Sciences, Elsevier, vol. 59(C), pages 26-42.
    4. Qingxian An & Xiangyang Tao & Bo Dai & Jinlin Li, 2020. "Modified Distance Friction Minimization Model with Undesirable Output: An Application to the Environmental Efficiency of China’s Regional Industry," Computational Economics, Springer;Society for Computational Economics, vol. 55(4), pages 1047-1071, April.

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