The passenger vessel services act and America's cruise tourism industry

James Mak, Christopher Sheehey and Shannon Toriki

Research in Transportation Economics, 2010, vol. 26, issue 1, 18-26

Abstract: The Passenger Vessel Services Act (PVSA) of 1886, a cabotage law, attempts to shield U.S. maritime shipping from foreign competition. It also applies to the U.S. cruise ship industry. The PVSA requires foreign cruise ships that carry passengers between U.S. ports to also stop at foreign ports. Norwegian Cruise Line America (NCLA), which operates one U.S. flagged cruise ship in Hawaii, wants the U.S. Customs and Border Protection to require foreign cruise ships offering Hawaii itineraries from the U.S. west coast to spend more time in foreign ports. We analyze the merits of NCLA's proposal. We argue that rather than making the PVSA even more protectionist, the law should be repealed.

Keywords: Passenger; Vessel; Services; Act; PVSA; Norwegian; Cruise; Lines; NCLA; Protectionism; Cruise; industry (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (2)

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Working Paper: The Passenger Vessel Services Act and America’s Cruise Tourism Industry (2009)
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