The Suez canal blockage captured the world's attention, but sea lanes are not as important as many claim | John Quiggin

As it turns out, the cost of disruption to world shipping is smaller than some coverage would suggest

The Ever Given container vessel is finally freed, but there has been extensive discussion of the potential economic costs of disruption to world shipping arising from the closure of the Suez canal. Much attention has been paid to the fact that 12% of total global trade flows through the canal.

By contrast, few observers have remarked on the fact that the canal has been closed for long periods in the past, giving us a fairly good idea of the likely cost of an extensive blockage. As it turns out, this cost is smaller than some coverage would suggest.