@article{Francois:332392,
      recid = {332392},
      author = {Francois, Joseph F. and Rojas-Romagosa, Hugo},
      title = {Melting Ice Caps and the Economic Impact of Opening the  Northern Sea Route},
      address = {2013},
      pages = {52},
      year = {2013},
      note = {Presented at the 16th Annual Conference on Global Economic  Analysis, Shanghai, China},
      abstract = {A consequence of melting Arctic ice caps is the commercial  viability of the Northern Sea Route, connecting North-East  Asia with North-Western Europe. This will represent a  sizeable reduction in shipping distances and a decrease in  the average transportation days by around one-third  compared to the currently used Southern Sea Route. We  examine the economic impact of the opening of the Northern  Sea Route. This includes a remarkable shift of bilateral  trade flows between Asia and Europe, diversion of trade  within Europe, heavy shipping traffic in the Arctic, and a  substantial drop in traffic through Suez. These global  trade changes are reflected in real income effects for the  countries involved and moderate labour displacement for  specific industries. The estimated redirection of trade has  also major geopolitical implications: the reorganisation of  global supply chains within Europe and between Europe and  Asia, and the highlighted political interest and  environmental pressure on the Arctic.},
      url = {http://ageconsearch.umn.edu/record/332392},
}