Konferenzbeitrag

The Effects of DR-CAFTA in Nicaragua A CGE-Microsimulation Model for Poverty and Inequality Analysis

In this paper, we build a Computable General Equilibrium (CGE)-microsimulation model for the economy of Nicaragua following the Top-Down approach (see Bourguignon et al., 2003), that is, the reform is simulated first at the macro level with the CGE model, and then it is passed onto the microsimulation model through a vector of changes in some chosen variables, such as prices, wage rates, and unemployment levels. This approach appears to be particularly suited to the policy reform we are willing to simulate with the model: the Free Trade Agreement of Central America with the USA is mainly a macroeconomic reform, which on the other hand can have important effects on the distribution of income. With such a model we try to study the possible changes in the distribution of income deriving from the Free Trade Agreement with USA. Our analysis finds only small changes both in the main macroeconomic variables and in the distribution of income and poverty indices.

Sprache
Englisch

Erschienen in
Series: Proceedings of the German Development Economics Conference, Zürich 2008 ; No. 6

Klassifikation
Wirtschaft
Computable General Equilibrium Models
Statistical Simulation Methods: General
Multiple or Simultaneous Equation Models: Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
Personal Income, Wealth, and Their Distributions
Thema
CGE models
microsimulation
income distribution

Ereignis
Geistige Schöpfung
(wer)
Colombo, Giulia
Ereignis
Veröffentlichung
(wer)
Verein für Socialpolitik, Ausschuss für Entwicklungsländer
(wo)
Göttingen
(wann)
2008

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

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Objekttyp

  • Konferenzbeitrag

Beteiligte

  • Colombo, Giulia
  • Verein für Socialpolitik, Ausschuss für Entwicklungsländer

Entstanden

  • 2008

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