Explain why certain types of environmental pollution can be characterized as a “global tragedy of commons.”
It is widely claimed and accepted that shipping finance practitioners are playing at the crossroads of the shipping market and capital market. As such and to begin with our study, it is recommended that we need to first revisit some of the salient and prerequisite overview of shipping before we move on to having detailed review and study of shipping finance in subsequent modules in view of the facts that:
• the overview to be gone through in this module is closely related to and specifically associated with shipping finance, and
• most importantly, contents of this module are going to be mentioned and re-examined again in subsequent modules concerning shipping finance.
For our study, this module intends to cover the following major topics and areas:-
A. The four shipping markets,
B. The sea transport system (or the economic model of sea transport),
C. The shipping market cycle,
D. Ship registration,
E. One-ship company and Mareva injunction,
F. Maritime lien,
G. Merger and acquisition in the shipping industry, and
H. Ship investment strategy and criteria.
As a start of this module, it is widely noted that the central role of shipping offers sea transport to facilitate global trade and promote economic development. In addition, the shipping industry is an integral part of the international trading system and its core function is to facilitate international trade through connecting the sources of supply and demand for commodities. Indeed, shipping, trade and economic development all go hand in hand:
• it is estimated that over 95% of international trade in terms of volume is carried out through shipping, and
• over the past decades, shipping has developed into a high profile industry which has become a driving force for the creation of wealth in the world and well being of the people.
Module 1 – Overview of Shipping and Shipping Finance Page 2
Shipping is essential to the functioning of the global economy and its dependence upon moving goods from
• the overview to be gone through in this module is closely related to and specifically associated with shipping finance, and
• most importantly, contents of this module are going to be mentioned and re-examined again in subsequent modules concerning shipping finance.
For our study, this module intends to cover the following major topics and areas:-
A. The four shipping markets,
B. The sea transport system (or the economic model of sea transport),
C. The shipping market cycle,
D. Ship registration,
E. One-ship company and Mareva injunction,
F. Maritime lien,
G. Merger and acquisition in the shipping industry, and
H. Ship investment strategy and criteria.
As a start of this module, it is widely noted that the central role of shipping offers sea transport to facilitate global trade and promote economic development. In addition, the shipping industry is an integral part of the international trading system and its core function is to facilitate international trade through connecting the sources of supply and demand for commodities. Indeed, shipping, trade and economic development all go hand in hand:
• it is estimated that over 95% of international trade in terms of volume is carried out through shipping, and
• over the past decades, shipping has developed into a high profile industry which has become a driving force for the creation of wealth in the world and well being of the people.
Module 1 – Overview of Shipping and Shipping Finance Page 2
Shipping is essential to the functioning of the global economy and its dependence upon moving goods from