[go: up one dir, main page]
More Web Proxy on the site http://driver.im/
IDEAS home Printed from https://ideas.repec.org/p/pid/mimaps/200316.html
   My bibliography  Save this paper

An Assessment of the Impact of Trade Liberalisation on Welfare in Pakistan: A General Equilibrium Analysis

Author

Listed:
  • A. R. Kemal

    (Pakistan Institute of Development Economics, Islamabad.)

  • Rehana Siddiqui

    (Pakistan Institute of Development Economics, Islamabad.)

  • Rizwana Siddiqui

    (Pakistan Institute of Development Economics, Islamabad.)

  • M. Ali Kemal

    (Pakistan Institute of Development Economics, Islamabad.)

Abstract
Using Computable General Equilibrium Model, this paper assesses the impact of import liberalisation on macro aggregates and on the welfare of households. It uses benchmark data from Social Accounting Matrix for the year 1989-90 and simulates the impact of (i) removal of quota restrictions on imports of electric and non-electric equipment and transport equipment, (ii) reduction in import tariffs, and (iii) reduction in quota and tariff restriction in the presence of economic growth. The results of these simulation exercises indicate that reduction in quantitative restrictions on imports improves welfare of employees� group of households in the urban areas. Welfare gain is the highest for the poorest group of households in the rural areas. Similarly, tariff reduction benefits employees more and (in the rural areas) than it does the medium-size landholders.

Suggested Citation

  • A. R. Kemal & Rehana Siddiqui & Rizwana Siddiqui & M. Ali Kemal, 2003. "An Assessment of the Impact of Trade Liberalisation on Welfare in Pakistan: A General Equilibrium Analysis," MIMAP Technical Paper Series 2003:16, Pakistan Institute of Development Economics.
    • Handle: RePEc:pid:mimaps:2003:16
    as

    Download full text from publisher

    File URL: https://file.pide.org.pk/pdf/mimap/MIMAP16.pdf
    File Function: First Version, 2003
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Rizwana Siddiqui & Zafar Iqbal, 1999. "Social Accounting Matrix of Pakistan for 1989-90," PIDE Research Report 1999:171, Pakistan Institute of Development Economics.
    2. Zafar Iqbal & Rizwana Siddiqui, 1999. "Distributional Impact of Structural Adjustment on Income Inequality in Pakistan: A SAM-based Analysis," MIMAP Technical Paper Series 1999:02, Pakistan Institute of Development Economics.
    3. Moore, Mick & Leavy, Jennifer & Houtzager, Peter & White, Howard, 1999. "Polity qualities: how governance affects poverty," MPRA Paper 9467, University Library of Munich, Germany.
    4. Rizwana Siddiqui & Zafar Iqbal, 2001. "Tariff Reduction and Functional Income Distribution in Pakistan: A CGE Model," MIMAP Technical Paper Series 2001:10, Pakistan Institute of Development Economics.
    5. Azizur Rahman Khan, 1997. "Globalisation, Liberalisation, and Equitable Growth: Lessons from Contemporary Asian Experience," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 36(4), pages 915-928.
    6. Wood, Adrian, 1998. "Globalisation and the Rise in Labour Market Inequalities," Economic Journal, Royal Economic Society, vol. 108(450), pages 1463-1482, September.
    7. Shoven,John B. & Whalley,John, 1992. "Applying General Equilibrium," Cambridge Books, Cambridge University Press, number 9780521266550, January.
    8. White, H., 1997. "The economic and social impact of adjustment in Africa : further empirical analysis," ISS Working Papers - General Series 18987, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    9. Thorbecke, Erik & Berrian, David, 1992. "Budgetary rules to minimize societal poverty in a general equilibrium context," Journal of Development Economics, Elsevier, vol. 39(2), pages 189-205, October.
    10. Zafar Iqbal & Rizwana Siddiqui, 1998. "The Impact of Structural Adjustment on Income Distribution in Pakistan A SAM-based Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(4), pages 377-397.
    11. Mati Lal Pal, 1964. "The Determinants of the Domestic Prices of Imports," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 4(4), pages 597-622.
    12. Decaluwe, B. & Patry, A. & Savard, L. & Thorbecke, E., 1999. "Poverty Analysis Within a General Equilibrium Framework," Cahiers de recherche 9909, Université Laval - Département d'économique.
    13. Hine, Robert C & Wright, Peter W, 1998. "Trade with Low Wage Economies, Employment and Productivity in UK Manufacturing," Economic Journal, Royal Economic Society, vol. 108(450), pages 1500-1510, September.
    14. Rashid Amjad & A.R. Kemal, 1997. "Macroeconomic Policies and their Impact on Poverty Alleviation in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 36(1), pages 39-68.
    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. Olufemi Samuel Adegboyo & Sunday Anderu Keji & Oluwadamilola Tosin Fasina, 2021. "The impact of government policies on Nigeria economic growth (case of fiscal, monetary and trade policies)," Future Business Journal, Springer, vol. 7(1), pages 1-14, December.

    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. A.R. Kemal & Rehana Siddiqui & Rizwana Siddiqui, 2001. "Triff Reduction and Income Destribution A CGE-based Analysis for Urban and Rural Households in Pakistan," PIDE-Working Papers 2001:181, Pakistan Institute of Development Economics.
    2. Rizwana Siddiqui & Abdul Razzaq Kemal & Rehana Siddiqui & Ali Kemal, 2008. "Tariff Reduction, Fiscal Adjustment and Poverty in Pakistan: a CGE-Based Analysis," Working Papers MPIA 2008-17, PEP-MPIA.
    3. Rehana Siddiqui & Rizwana Siddiqui & Zafar Iqbal, 1999. "The Impact of Tariff Reforms on Income Distribution in Pakistan: A CGE-based Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 38(4), pages 789-804.
    4. Rizwana Siddiqui & Zafar Iqbal, 2001. "Tariff Reduction and Functional Income Distribution in Pakistan: A CGE Model," MIMAP Technical Paper Series 2001:10, Pakistan Institute of Development Economics.
    5. Siddiqui, Rizwana & Iqbal, Zafar, 1999. "TARIFF REDUCTION AND FUNCTIONAL INCOME DISTRIBUTION IN PAKISTAN: A CGE Analysis," MPRA Paper 6141, University Library of Munich, Germany.
    6. Rizwana Siddiqui & A. R. Kemal, 2006. "Remittances, Trade Liberalisation, and Poverty in Pakistan: The Role of Excluded Variables in Poverty Change Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 45(3), pages 383-415.
    7. Adnan Haider Bukhari & Safdar Ullah Khan, 2008. "A Small Open Economy DSGE Model for Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 47(4), pages 963-1008.
    8. Paolo Epifani & Gino Gancia, 2008. "The Skill Bias of World Trade," Economic Journal, Royal Economic Society, vol. 118(530), pages 927-960, July.
    9. Peter Huber & Helmut Hofer, 2001. "Teilprojekt 9: Auswirkungen der EU-Erweiterung auf den österreichischen Arbeitsmarkt," WIFO Studies, WIFO, number 19839.
    10. Haider A. Khan, 2007. "Social Accounting Matrix: A Very Short Introduction for Economic Modeling," CIRJE F-Series CIRJE-F-477, CIRJE, Faculty of Economics, University of Tokyo.
    11. Mark Partridge & Dan Rickman, 2010. "Computable General Equilibrium (CGE) Modelling for Regional Economic Development Analysis," Regional Studies, Taylor & Francis Journals, vol. 44(10), pages 1311-1328.
    12. Siddiqui, Rizwana, 2009. "Pakistan: Migration, Remittances, and Development," MPRA Paper 90152, University Library of Munich, Germany, revised 2010.
    13. Rizwana Siddiqui & A. R. Kemal, 2006. "Poverty-reducing or Poverty-inducing? A CGE-based Analysis of Foreign Capital Inflows in Pakistan," PIDE-Working Papers 2006:2, Pakistan Institute of Development Economics.
    14. Rizwana Siddiqui, 2004. "Modelling Gender Dimensions of the Impact of Economic Reforms on Time Allocation among Market Work,Household Work, and Leisure," PIDE-Working Papers 2004:185, Pakistan Institute of Development Economics.
    15. Behrman, Jere R., 2009. "Analyzing the Distributional Impact of Reforms, Volume Two: A Practitioner's Guide to Pension, Health, Labor Market, Public Sector Downsizing, Taxation, Decentralization, and Macroeconomic Modeling. A," Journal of Pension Economics and Finance, Cambridge University Press, vol. 8(3), pages 396-397, July.
    16. Niven Winchester, 2008. "Searching for the Smoking Gun: Did Trade Hurt Unskilled Workers?," The Economic Record, The Economic Society of Australia, vol. 84(265), pages 141-156, June.
    17. Usman Qadir & Muhammad Ali Kemal & Hasan Mohammad Mohsin, 2000. "Impact of Trade Reforms on Poverty," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 39(4), pages 1127-1137.
    18. De Santis, Roberto A., 1999. "Intra-industry trade, endogenous technological change, wage inequality and welfare," Kiel Working Papers 921, Kiel Institute for the World Economy (IfW Kiel).
    19. Haider A. Khan, 2007. "Social Accounting Matrices(SAMs) and CGE Modeling:Using Macroeconomic Computable General Equilibrium Models for Assessing Poverty Impact of Structural Adjustment Policies," CIRJE F-Series CIRJE-F-463, CIRJE, Faculty of Economics, University of Tokyo.
    20. Peter Huber & Yvonne Wolfmayr, 2000. "Außenhandel und Löhne. Ein Literaturüberblick," WIFO Monatsberichte (monthly reports), WIFO, vol. 73(3), pages 197-210, March.

    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:pid:mimaps:2003:16. 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: Khurram Iqbal (email available below). General contact details of provider: https://edirc.repec.org/data/pideipk.html .

    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.