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The impact of trade liberalization on Senegal: An assessment of the potential impacts of an Economic Partnership Agreement (EPA) on Senegalese Households using a Single country CGE analysis

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  • Fall, Cheickh Sadibou

Abstract

This study developed a single country computable general equilibrium (CGE) model including a Household disaggregation in order to measure the potential impacts of two scenarios, the first on full liberalization and the second on the potential implementation of Economic partnership agreement (EPA) between European Union and Ecowas. The classical indicators of poverty and inequality were also computed in addition to the equivalent variation measure in order to capture the effects of the implementation of these policies on Senegalese households. The results show that the EPA scenario seems to be more beneficial in term of welfare variation than the full liberalization scenario. However, the urban households seem to benefit more. The analysis of the inequality indicators shows whatever the scenario considered a decrease of the income inequality. However the EPA scenario again seems to be more beneficial. Lastly, concerning the poverty indicators, the two scenarios envisaged did not seem to reduce poverty.

Suggested Citation

  • Fall, Cheickh Sadibou, 2012. "The impact of trade liberalization on Senegal: An assessment of the potential impacts of an Economic Partnership Agreement (EPA) on Senegalese Households using a Single country CGE analysis," Conference papers 332258, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugtwp:332258
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    1. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
    2. Valdete Berisha-Krasniqi & Antoine Bouët & Simon Mevel, 2008. "Les accords de partenariat économique. Quels enjeux pour le Sénégal ?," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(4), pages 65-116.
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