This research project attempts to identify of the costs of modern piracy on shipping costs. A model was developed for how piracy should affect shipping prices on different shipping routes and the theory tested with two new datasets: detailed information on piracy attacks in the area of Somalia and Indonesia and information on 24.000 time charter agreements of dry cargo between 2002 and 2011.
Besley, T.; Fetzer, T.; Mueller, H. The Economic Costs of Piracy (IGC Policy Brief). International Growth Centre (IGC), London, UK (2012) 2 pp.
The Economic Costs of Piracy (IGC Policy Brief)