Thursday, May 8, 2014

How the Shipping Container Made the World Smaller and the World Economy Bigger

1.         The section I found most interesting was the section that begins with: “How much the container matters to the world economy is…” a little ways down the screen. What I found so interesting about it was just how difficult it is to understand what a container means to the economy. When you think about a container, the initial perception is that it’s simple—and especially with the amount of resources and knowledge we have today, we should know what that means. Also noting the changes over time, and the effects of pretty much insignificant freight costs, really made me interested in this section.
2.         Just two paragraphs above my selected paragraph contains a paragraph that I felt was very telling of the overall effect of the container on the global economy. What Levinson essentially says is that while the development of transportation and the container does help both the exporter and the importer (which would imply that in any given situation, it helps everyone), he also points out the difficulties with containers, especially considering no one ACTUALLY knows what is going on inside. Overall, I get the impression that Levinson chooses to convey that the container is somewhat mysterious in what its actual effect is. In fact, at one point he says how it is impossible to quantify the actual effect on the world economy.

3.         In terms of global transportation, I could see the gainers and losers varying depending on the situation (meaning time, items, etc). Overall, lower transportation costs seem to benefit the consumers the most, as they will be able to buy cheaper products. It’s why so many made in China or Bangladesh labels are seen, it’s because they’re cheaper, both due to transportation costs, and production costs (but I won’t get into that right now…). It may also be beneficial to the exporting country, as they will have more buyers for their products. Overall, I think it would definitely depend on the situation.

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