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The Impact of Trade Liberalization on Household Welfare in Vietnam

2005 Cost and standard of living
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Release : 2005
Genre : Cost and standard of living
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Book Synopsis The Impact of Trade Liberalization on Household Welfare in Vietnam by : Ganesh Seshan

Download or read book The Impact of Trade Liberalization on Household Welfare in Vietnam written by Ganesh Seshan. This book was released on 2005. Available in PDF, EPUB and Kindle. Book excerpt: "What is the effect of trade liberalization on households in developing countries? To what extent do the poor benefit when local markets are made more accommodative to international trade? The author empirically analyzes the distributional impact of trade policies on households in a low-income country with a large rural economy where labor markets are imperfect. The methodology in this paper, which can be applied to various types of labor market conditions, relates changes in prices attributed to trade reforms to changes in household welfare, income distribution, and poverty using theoretically consistent measures of producer and consumer welfare. The author investigates the effects on poverty and income distribution of national and international market integration in Vietnam's rice sector and fertilizer market between 1993 and 1998, a period of ongoing market reforms when the national poverty rate fell sharply from 59 percent to 37 percent. ... " -- Cover verso.

The Impact of Trade Liberalization on Household Welfare in Vietnam

2012
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Release : 2012
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Book Synopsis The Impact of Trade Liberalization on Household Welfare in Vietnam by : Ganesh Seshan

Download or read book The Impact of Trade Liberalization on Household Welfare in Vietnam written by Ganesh Seshan. This book was released on 2012. Available in PDF, EPUB and Kindle. Book excerpt: What is the effect of trade liberalization on households in developing countries? To what extent do the poor benefit when local markets are made more accommodative to international trade? The author empirically analyzes the distributional impact of trade policies on households in a low-income country with a large rural economy where labor markets are imperfect. The methodology in this paper, which can be applied to various types of labor market conditions, relates changes in prices attributed to trade reforms to changes in household welfare, income distribution, and poverty using theoretically consistent measures of producer and consumer welfare. The author investigates the effects on poverty and income distribution of national and international market integration in Vietnam's rice sector and fertilizer market between 1993 and 1998, a period of ongoing market reforms when the national poverty rate fell sharply from 59 percent to 37 percent. He finds that when the effects of opening the rice and fertilizer market are isolated, Vietnam's agricultural trade reforms did not contribute to a significant improvement in overall household welfare or decline in poverty over this period. Nonetheless, the liberalization exercise can explain about half of the reduction in poverty incidence among farm households. The results also show that liberalization did not exacerbate income inequality, but did generate gains for rural households across the distribution, particularly the poor, at the expense of urban households.

Trade Liberalisation and Poverty

2015-08-11 Business & Economics
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Release : 2015-08-11
Genre : Business & Economics
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Book Rating : 527/5 ( reviews)

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Book Synopsis Trade Liberalisation and Poverty by : Minh Son Le

Download or read book Trade Liberalisation and Poverty written by Minh Son Le. This book was released on 2015-08-11. Available in PDF, EPUB and Kindle. Book excerpt: This book uses Alan Winters’ analytical framework to investigate the effects of trade liberalisation on economic growth and poverty in Vietnam. The country launched a programme of economic and trade reforms, known as Doi Moi, in the mid-1980s which placed the economy on a transitional path from central planning to a market economy. Since then Vietnam has attained a number of remarkable achievements in terms of economic growth and poverty reduction. Although some formidable problems (such as inequality and inflation) remain, it is apparent that trade liberalisation has been associated with a big reduction in poverty. The analysis in the book focuses on the microeconomic (household) level, and there is an emphasis on tracing the effects of trade liberalisation through the four separate channels identified by Winters. Such in-depth and micro-level analyses yield new insights that support important policy lessons and recommendations for Vietnam in particular and, more generally, for similar developing countries.

The Impact of Trade Liberalization on Household Welfare in Vietnam

2018
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Release : 2018
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Book Synopsis The Impact of Trade Liberalization on Household Welfare in Vietnam by : Nguyen Chan

Download or read book The Impact of Trade Liberalization on Household Welfare in Vietnam written by Nguyen Chan. This book was released on 2018. Available in PDF, EPUB and Kindle. Book excerpt: This paper evaluates the efficiency and distributional effects of trade liberalization in the context of fiscal reform in Vietnam. The analysis is performed using a computable general equilibrium (CGE) model of the Vietnamese economy calibrated to late-1990s production and household data. It is a standard small open price taking economy model with CES nested demand and CES production functions. Results show that the efficiency gains (in term of aggregate welfare measure) from the combined tax and tariff reform are modest, but significant redistribution occurs among rich and poor household groups and between urban and rural populations. Careful analyses show that the sharpness of the redistribution falls as the country moves from only trade liberalization to combined tax and tariff reforms. Finally, additional simulations have been performed to make clearer the transmission mechanisms linking tariff policy to income distribution and household welfare. A key finding is that trade liberalization is pro-rich due essentially to the higher share of imported goods consumed by the rich.

Trade Reforms and Welfare

2006 Agricultural Production
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Release : 2006
Genre : Agricultural Production
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Book Synopsis Trade Reforms and Welfare by : Aylin Isik-Dikmelik

Download or read book Trade Reforms and Welfare written by Aylin Isik-Dikmelik. This book was released on 2006. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyzes the impact of trade reforms on household welfare. In particular, it studies the importance of each of the links that together constitute the impact using data from the Vietnamese experience in the 1990s. The implementation of trade reforms in the 1990s, most noteworthy of which was the liberalization of rice, resulted in substantial improvement in welfare as evidenced by the drastic decline in poverty. Using analytical and empirical methods, the author examines the role of each channel (direct versus indirect) in this improvement for different groups of households. Results indicate that the growth has been broad based and pro-poor. Poorer households experienced more growth for each and every group analyzed. And contrary to the standard literature, net buyer households had more growth compared with net sellers, emphasizing the importance of indirect links. Decomposition of the growth shows that for rural households, both the direct effect and the multiplier effect drive growth while the multiplier effect was key in urban areas. The importance of the secondary effects underscores the need for a broader model to estimate the impact of trade reforms fully.

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