IDEAS home Printed from https://ideas.repec.org/a/taf/jitecd/v25y2016i1p80-102.html
   My bibliography  Save this article

Distributional effects of multilateral and preferential trade liberalisation: The case of Paraguay

Author

Listed:
  • Elizabeth Jane Casabianca

Abstract

The aim of this work is to dissect the distributional impact of preferential and multilateral trade liberalisation on household well-being using individual level data for Paraguay never exploited so far. For this purpose, the intrazone and applied most favored nation (MFN) tariff pass-through rate on the prices of traded goods is estimated, and the impacts of trade induced price changes on households as consumers and as income earners are calculated. The results indicate that trade liberalisation has benefited households along the entire income distribution and, most importantly, show that these benefits differ according to the type of liberalisation policies implemented.

Suggested Citation

  • Elizabeth Jane Casabianca, 2016. "Distributional effects of multilateral and preferential trade liberalisation: The case of Paraguay," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 25(1), pages 80-102, February.
  • Handle: RePEc:taf:jitecd:v:25:y:2016:i:1:p:80-102
    DOI: 10.1080/09638199.2015.1041418
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/09638199.2015.1041418
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/09638199.2015.1041418?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jed Friedman & James Levinsohn, 2002. "The Distributional Impacts of Indonesia's Financial Crisis on Household Welfare: A "Rapid Response" Methodology," The World Bank Economic Review, World Bank, vol. 16(3), pages 397-423, December.
    2. Ural Marchand, Beyza, 2012. "Tariff pass-through and the distributional effects of trade liberalization," Journal of Development Economics, Elsevier, vol. 99(2), pages 265-281.
    3. Porto, Guido G., 2006. "Using survey data to assess the distributional effects of trade policy," Journal of International Economics, Elsevier, vol. 70(1), pages 140-160, September.
    4. Fernando Borraz & Máximo Rossi & Daniel Ferres, 2012. "Distributive Effects of Regional Trade Agreements on the ‘Small Trading Partners’: Mercosur and the Case of Uruguay and Paraguay," Journal of Development Studies, Taylor & Francis Journals, vol. 48(12), pages 1828-1843, December.
    5. Nina Pavcnik & Andreas Blom & Pinelopi Goldberg & Norbert Schady, 2004. "Trade Liberalization and Industry Wage Structure: Evidence from Brazil," The World Bank Economic Review, World Bank, vol. 18(3), pages 319-344.
    6. Attanasio, Orazio & Goldberg, Pinelopi K. & Pavcnik, Nina, 2004. "Trade reforms and wage inequality in Colombia," Journal of Development Economics, Elsevier, vol. 74(2), pages 331-366, August.
    7. Deaton, Angus, 1989. "Rice Prices and Income Distribution in Thailand: A Non-parametric Analysis," Economic Journal, Royal Economic Society, vol. 99(395), pages 1-37, Supplemen.
    8. Nicita, Alessandro, 2009. "The price effect of tariff liberalization: Measuring the impact on household welfare," Journal of Development Economics, Elsevier, vol. 89(1), pages 19-27, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yoshimichi Murakami, 2021. "Trade liberalization and wage inequality: Evidence from Chile," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 30(3), pages 407-438, April.
    2. Amelia U. Santos‐Paulino & Alisa DiCaprio & Maria V. Sokolova, 2019. "The development trinity: How regional integration impacts growth, inequality and poverty," The World Economy, Wiley Blackwell, vol. 42(7), pages 1961-1993, July.
    3. Wang, Bei & Qian, Xuefeng & Li, Ying & Cao, Jia, 2024. "Pro-poor consumption effects of trade liberalization: Evidence from China," China Economic Review, Elsevier, vol. 86(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. repec:wsr:wpaper:y:2012:i:083 is not listed on IDEAS
    2. Beyza Ural Marchand, 2019. "Inequality and Trade Policy: The Pro‐Poor Bias of Contemporary Trade Restrictions," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 65(S1), pages 123-152, November.
    3. Paolo Giordano & Kun Li, 2012. "An Updated Assessment of the Trade and Poverty Nexus in Latin America," IDB Publications (Working Papers) 79119, Inter-American Development Bank.
    4. Giordano, Paolo & Li, Kun, 2012. "An Updated Assessment of the Trade and Poverty Nexus in Latin America," IDB Publications (Working Papers) 4209, Inter-American Development Bank.
    5. Lawrence Edwards & Zaakirah Ismail & Godfrey Kamutando & Simbarashe Mambara & Matthew Stern & Fouche, 2022. "TheconsumerpriceeffectsofspecifictradepolicyrestrictionsinSouthAfrica," Working Papers 11036, South African Reserve Bank.
    6. Antonio Martuscelli, 2017. "Analysing the Impact of Price Shocks in Rural Economies: Do Household Responses Matter?," Journal of Development Studies, Taylor & Francis Journals, vol. 53(9), pages 1518-1534, September.
    7. Pedro Moncarz & Sergio Barone & Germán Calfat & Ricardo Descalzi, 2017. "Poverty Impacts of Changes in the International Prices of Agricultural Commodities: Recent Evidence for Argentina (An Ex-Ante Analysis)," Journal of Development Studies, Taylor & Francis Journals, vol. 53(3), pages 375-395, March.
    8. Ujjayant Chakravorty & Marie‐Hélène Hubert & Beyza Ural Marchand, 2019. "Food for fuel: The effect of the US biofuel mandate on poverty in India," Quantitative Economics, Econometric Society, vol. 10(3), pages 1153-1193, July.
    9. Lugo, María Ana & Garriga, Santiago & Puig, Jorge, 2022. "Effects of food prices on poverty: The case of Paraguay, a food exporter and a non-fully urbanized country," Revista Latinoamericana de Desarrollo Economico, Carrera de Economía de la Universidad Católica Boliviana (UCB) "San Pablo", issue 37, pages 7-43, Mayo.
    10. Ujjayant Chakravorty & Marie-Hélène Hubert & Beyza Ural Marchand, 2016. "The effect of the US biofuels mandate on poverty in India," Economics Working Paper Archive (University of Rennes & University of Caen) 2016-13, Center for Research in Economics and Management (CREM), University of Rennes, University of Caen and CNRS.
    11. Hanan G. Jacoby, 2016. "Food Prices, Wages, And Welfare In Rural India," Economic Inquiry, Western Economic Association International, vol. 54(1), pages 159-176, January.
    12. Nicita, Alessandro & Olarreaga, Marcelo & Porto, Guido, 2014. "Pro-poor trade policy in Sub-Saharan Africa," Journal of International Economics, Elsevier, vol. 92(2), pages 252-265.
    13. Pinelopi K. Goldberg & Nina Pavcnik, 2004. "Trade, Inequality, and Poverty: What Do We Know? Evidence from Recent Trade Liberalization Episodes in Developing Countries," NBER Working Papers 10593, National Bureau of Economic Research, Inc.
    14. Beyza Ural Marchand, 2017. "How does international trade affect household welfare?," IZA World of Labor, Institute of Labor Economics (IZA), pages 378-378, August.
    15. Fernando Borraz & Daniel Ferrés & Máximo Rossi, 2013. "Assessment of the distributive impact of national trade reforms in Brazil," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 11(2), pages 215-235, June.
    16. Antonio Martuscelli & Michael Gasiorek, 2019. "Regional Integration And Poverty: A Review Of The Transmission Channels And The Evidence," Journal of Economic Surveys, Wiley Blackwell, vol. 33(2), pages 431-457, April.
    17. Dai,Mi & Tanaka,Kiyoyasu, 2024. "Origin of Goods and Unequal Consumer Gains from Trade Liberalization," IDE Discussion Papers 939, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    18. Huw Lloyd-Ellis & Ardyn Nordstrom, 2021. "Trade, poverty and food security: A survey of recent research and its implications for East Africa," Working Paper 1460, Economics Department, Queen's University.
    19. Porto, Guido G., 2005. "Informal export barriers and poverty," Journal of International Economics, Elsevier, vol. 66(2), pages 447-470, July.
    20. Han, Jun & Liu, Runjuan & Ural Marchand, Beyza & Zhang, Junsen, 2016. "Market structure, imperfect tariff pass-through, and household welfare in Urban China," Journal of International Economics, Elsevier, vol. 100(C), pages 220-232.
    21. Yoshimichi Murakami, 2021. "Trade liberalization and wage inequality: Evidence from Chile," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 30(3), pages 407-438, April.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jitecd:v:25:y:2016:i:1:p:80-102. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RJTE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.