What the study found
The study found that government effectiveness is a strong positive correlate of national logistics performance. The authors also report that this relationship remains stable across several statistical approaches.
Why the authors say this matters
The authors conclude that strengthening state capability may produce meaningful gains in logistics performance beyond income and trade levels. They also state that state capability is a critical enabler of supply chain reliability and resilience in international trade.
What the researchers tested
The researchers analyzed a biennial panel of 138 countries from 2007 to 2018. They linked the World Bank’s Logistics Performance Index (LPI, a measure of how well a country’s logistics system works) to macroeconomic, financial, and institutional factors, and tested the data with generalized estimating equations, fixed-effects models with Driscoll–Kraay errors, and an equally spaced AR(1) robustness subset.
What worked and what didn't
Government effectiveness was reported as strongly and consistently positive across the main models, including generalized estimating equations with year effects. Trade openness, control of corruption, human capital, employment, remittances, and domestic credit were included as controls and retained expected signs. The abstract does not report any predictors that clearly failed or any negative main findings.
What to keep in mind
The summary does not describe detailed effect sizes, model coefficients, or country-specific exceptions. Limitations are not described in the available abstract.
Key points
- Government effectiveness was the key predictor of higher logistics performance.
- The analysis covered 138 countries over 2007–2018.
- The relationship remained positive across generalized estimating equations, fixed-effects models, and a robustness subset.
- Control variables such as trade openness and human capital were included and had expected signs.
- The authors state that state capability may support supply chain reliability and resilience in international trade.
Disclosure
- Research title:
- Government effectiveness is linked to stronger logistics performance
- Authors:
- Dambar Uprety
- Institutions:
- Kent State University
- Publication date:
- 2026-03-04
- OpenAlex record:
- View
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