Pontificia Universidad Católica de Chile Pontificia Universidad Católica de Chile
Giesen, R, D. Farren (2021) Transport Production and Cost Structure. In Ed. Vickerman, R. “International Encyclopedia of Transportation” First Edition. Elsevier ISBN: 9780081026717. (2020)

Transport Production and Cost Structure

Revista : International Encyclopedia of Transportation 1st Edition
Tipo de publicación : Otros Ir a publicación


This chapter presents an analysis of the production process and cost structure in freight transport, from a microeconomic perspective. Three type of flow structures are studied: (i) transport from a single origin to a single destination, with and without return load; (ii) freight transport flows between three points, in which different route structures are analyzed; and (iii) freight transport from a single origin to several destinations, in which several routes are dispatched from the origin, each one carrying loads to a subset of the destinations. Finally, specific aspects of road and rail transport are described respectively and external costs caused by freight transport in each of these modes are discussed.