Shipping Costs and the Terms of Trade: Australia and New Zealand

Michael Chisholm

Journal of the Royal Statistical Society Series C, 1959, vol. 8, issue 3, 196-201

Abstract: The author shows that it is a very rough approximation to assume that freight rates remain a constant ten per cent addition to export prices. Using Australasian data, he finds variations from six to twenty‐six per cent. For these countries, variation is much greater for export than for import prices, as freight rates tend to move with prices of manufactured goods rather than with basic food and material prices.

Date: 1959
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