The impact of the EU sugar trade reform on poor households in developing countries: A general equilibrium analysis

2011 ◽  
Vol 33 (4) ◽  
pp. 568-582 ◽  
Author(s):  
Elisabetta Gotor ◽  
Marinos E. Tsigas
Keyword(s):  
Developing Countries ◽  
General Equilibrium ◽  
Equilibrium Analysis ◽  
Trade Reform ◽  
General Equilibrium Analysis ◽  
Poor Households ◽  
Sugar Trade ◽  
The Impact ◽  
The Eu

Trade reform and environmental externalities in general equilibrium: analysis for an archetype poor tropical country

2000 ◽  
Vol 5 (4) ◽  
pp. 377-404 ◽  
Author(s):  
RAMÓN LÓPEZ
Keyword(s):  
General Equilibrium ◽  
Trade Liberalization ◽  
Agricultural Productivity ◽  
Equilibrium Analysis ◽  
Tropical Country ◽  
Trade Reform ◽  
General Equilibrium Analysis ◽  
Export Taxes ◽  
Biomass Resources ◽  
The Impact

This paper provides a conceptual and empirical general equilibrium framework for the analysis of the impact of trade reform on welfare and the environment. The analysis is applied to Côte d'Ivoire explicitly considering externalities affecting biomass (natural vegetation), which is shown to be an important factor determining agricultural productivity.The simulation general equilibrium analysis shows that the agricultural output composition effect dominates the agricultural expansion effect for the case of complete trade liberalization. Thus, in this case trade liberalization causes a significant improvement in the rural biomass stock by cutting land area cultivated, increases agricultural productivity, and induces dramatic welfare gains. That is, trade liberalization is a win–win type of policy in this case. However, partial trade liberalization that only reduces protection to non-agricultural goods (and does not reduce tariffs to agricultural import substitutes and does not reduce export taxes) causes a further deterioration of the biomass resources and reduces welfare.

scholarly journals Zero-rating food in South Africa: A computable general equilibrium analysis

2004 ◽  
Vol 7 (3) ◽  
pp. 521-531 ◽  
Author(s):  
M Kearney ◽  
J H Van Heerden
Keyword(s):  
General Equilibrium ◽  
Financial Services ◽  
Computable General Equilibrium ◽  
Positive Impact ◽  
Equilibrium Analysis ◽  
Cge Model ◽  
Percentage Increase ◽  
General Equilibrium Analysis ◽  
Revenue Sources ◽  
Poor Households

Zero-rating food is considered to alleviate poverty of poor households who spend the largest proportion of their income on food.  However, this will result in a loss of revenue for government.  A Computable General Equilibrium (CGE) model is used to analyze the combined effects on zero-rating food and using alternative revenue sources to compensate for the loss in revenue.  To prohibit excessively high increases in the statutory VAT rates of business and financial services, increasing direct taxes or increasing VAT to 16 per cent, is investigated.  Increasing direct taxes is the most successful option when creating a more progressive tax structure, and still generating a positive impact on GDP.  The results indicate that zero-rating food combined with a proportional percentage increase in direct taxes can improve the welfare of poor households.  

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