In the Winter 1996 issue of Transportation Quarterly, Beilock et al. presented evidence of significant premiums in freight rates associated with crossing borders in Central and Eastern Europe. Some premiums were also seen with respect to transiting distance, particularly in the former Soviet Union. This article examines the results of a follow-up study which shows that international motor carriers find conditions in the Balkans markedly inferior to those in Western Europe with respect to the appropriateness and enforcement of laws and taxes, corruption, crime, border-crossing procedures, and infrastructure. Evidence is also presented of extended delays at four border crossings, despite light to moderate traffic volumes. The degrees and patterns of these delays suggest problems related to processing procedures and personnel deficiencies, including negligence, rather than inadequacies in the infrastructure. (A)
Abstract