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Poverty Vulnerability and Trade Policy: Are the Likely Impacts Discernable? Author info | Abstract | Publisher info | Download info | Related research | Statistics Valenzuela, Ernesto
Hertel, Thomas
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Trade policy reform prospects have generated debate about the impacts on poverty. Some critics assert that price changes induced by trade reform are minimal and may not be distinguishable from price fluctuations induced by other shocks to the global economy. This paper addresses this issue by developing an approach to assess whether poverty changes induced by trade reform can be statistically discernable, based on a comparison in the grains sector. Fluctuations in grains markets are implemented by incorporating stochastic simulations into a CGE model of the global economy. The resulting price distributions are inputted to a micro-simulation based on national household surveys. The conclusions are based on the comparison of the resulting poverty distributions from the weather-induced variability only, versus the combined effect of the latter and trade reform. Results indicate that, in this conservative approach of evaluating only the global grains markets, the short-run impacts on poverty of trade liberalization can not be distinguished from market volatility in some countries.
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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2006 Annual meeting, July 23-26, Long Beach, CA with number
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Date of creation: 2006Date of revision:
Handle: RePEc:ags:aaea06:21397Contact details of provider: Postal: 555 East Wells Street, Suite 1100, Milwaukee, Wisconsin 53202 Phone: (414) 918-3190 Fax: (414) 276-3349 Email: Web page: http://www.aaea.org More information through EDIRC
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Keywords: International Relations/Trade ; Other versions of this item:
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.: Cranfield, J. A. L. & Preckel, Paul V. & Eales, James S. & Hertel, Thomas W., 2002.
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Hertel, Thomas & David Hummels & Maros Ivanic & Roman Keeney, 2003.
"How Confident Can We Be in CGE-Based Assessments of Free Trade Agreements? ,"
GTAP Working Papers
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Other versions:
Thomas Hertel & David Hummels & Maros Ivanic & Roman Keeney, 2004.
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NBER Working Papers
10477, National Bureau of Economic Research, Inc.
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Royal Economic Society Annual Conference 2002
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Valenzuela, Ernesto & Hertel, Thomas W. & Ivanic, Maros & Pratt, Alejandro Nin, 2004.
"Evaluating Poverty Impacts of Globalization and Trade Policy Changes on Agricultural Producers ,"
2004 Annual meeting, August 1-4, Denver, CO
20242, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
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Cranfield, J. A. L. & Preckel, Paul V. & Eales, James S. & Hertel, Thomas W., 2004.
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Research Unit Working Papers
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[Downloadable!]
Hertel, Thomas W. & Keeney, Roman & Valenzuela, Ernesto, 2004.
"Global Analysis Of Agricultural Trade Liberalization: Assessing Model Validity ,"
2004 Annual meeting, August 1-4, Denver, CO
20199, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
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Shaohua Chen & Ravallion, Martin, 2000.
"How did the world's poorest fare in the 1990s ? ,"
Policy Research Working Paper Series
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MTID discussion papers
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The Institute for International Integration Studies Discussion Paper Series
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Other versions: Arndt, Channing, 1996.
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GTAP Technical Papers
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"Measuring Vulnerability to Poverty ,"
Working Papers
UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
[Downloadable!]
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