Trade Policy and Poverty in Benin: a General Equilibrium Analysis

Economic and financial crisis in Benin since 1980s led the government to embark on a process of economic reforms in 1991. These reforms sought to remedy the fiscal and trade imbalances in order to accelerate economic growth. Trade policy reform was given priority. Import bans and quotas were eliminated, import duties abolished and a compensatory tax on commodities sold in the domestic market instituted. This study analyzes the effects of the trade policy reforms using a computable general equilibrium (CGE) model and household survey data. Results show that these reforms are more beneficial to households in urban areas, but contribute to worsening poverty conditions of the most poor in rural areas. If liberalization policies target better strategies aimed at fighting poverty, or at least not deteriorating the situation, they need to be designed in a way that they do not worsen the poverty conditions of the most destitute in society.CGE, trade, poverty, Benin

Accords de partenariat économique et pauvreté au Bénin : une analyse à l'aide d'un MEGC selon le principe de micro-simulation

The table of contents for this item can be shared with the requester. The requester may then choose one chapter, up to 10% of the item, as per the Fair Dealing provision of the Canadian Copyright ActCe papier essaie de quantifier les impacts de la mise en oeuvre des APE sur la répartition du revenu et la pauvreté au Bénin. Pour ce faire, un modèle de micro-simulation sur la base des données d'une enquête réalisée en 2003 est construit. En s'appuyant sur deux simulations de libéralisation (compensatoire ou non), nous montrons que la mise en oeuvre de l'APE sera d'autant plus bénéfique pour l'économie et pro-pauvre qu'elle sera négociée graduellement en fonction de l'architecture économique et que des efforts seront fournis pour adapter une fiscalité intérieure conséquente