Container Ships - global recession and economies of scale

An excellent video clip from the BBC that looks at one of the world’s largest container ships.

A good clip for demonstrating economies of scale, especially in terms of the benefits large scale transportation can bring. It also highlights the impact the global recession has had on the container business with a contraction in container trade of between 10 - 15%.

This fall in global container trade is reflected in the Baltic Dry Index, which is an assessment of the price of moving the major raw materials by sea