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SHOULD REGIONAL TRADE LIBERALIZATION OF AGRICULTURE BE A POLICY PRIORITY IN SOUTHERN AFRICA? AgEcon
Nin Pratt, Alejandro; Diao, Xinshen; Bahta, Yonas Tesfamariam.
We develop a detailed trade analysis to assess the potential impacts of a free trade agreement (FTA) on the agricultural sector of Southern African countries. We do this by combining the use of a partial equilibrium analysis with bilateral trade data at the four-digit Standard International Trade Classification (SITC) level for 193 agricultural industries in 14 Southern African countries. Results show that the overall welfare effects of a FTA would be positive but small in most countries. Largest benefits would go to countries with a regional comparative advantage for agriculture, while still being inefficient producers of regionally traded commodities. No direct gains for importing countries are expected because a FTA would increase imports from...
Tipo: Conference Paper or Presentation Palavras-chave: Regional trade agreement; Southern Africa; Agricultural trade; Agricultural and Food Policy; Food Security and Poverty; International Relations/Trade; F15; Q17; Q18.
Ano: 2009 URL: http://purl.umn.edu/51734
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Exploring growth linkages and market opportunities for agriculture in Southern Africa AgEcon
Nin Pratt, Alejandro; Diao, Xinshen.
Considering the heterogeneity of the countries of southern Africa and the presence of South Africa and other middle-income countries in the region, southern Africa has a unique opportunity to exploit agricultural potential and regional trade opportunities through regional dynamics and integration. We analyze the implications of such opportunities for the growth of the low-income countries, using a regional general equilibrium model that captures growth linkages. We find that growth in the middle-income southern African countries, such as South Africa, benefits the region’s low-income countries through increased demand for their agricultural exports. Agricultural productivity growth, however, is necessary for low-income countries to take advantage of South...
Tipo: Report Palavras-chave: Regional trade; General equilibrium model; Regional integration; Agricultural productivity; Agricultural growth; Grain production; International Development; International Relations/Trade; Marketing.
Ano: 2006 URL: http://purl.umn.edu/55411
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High value products or staple crops? A discussion on development strategies for Southern Africa AgEcon
Nin Pratt, Alejandro; Diao, Xinshen.
Unexploited agricultural potential and regional trade opportunities together with the presence of South Africa and other middle-income countries, offer Southern Africa the unique opportunity to foster agricultural growth through regional linkages. In this study a global general equilibrium model that focuses on Southern Africa is used to analyze the implications that these specific characteristics of the regional economy have on growth choices of low-income countries. Three groups of growth scenarios are define to analyze the role of South Africa as a possible engine of growth, the role of own growth engines in low-income countries, and growth linkages between middle- and low-income countries. Results of the simulation scenarios show that larger benefits...
Tipo: Conference Paper or Presentation Palavras-chave: Community/Rural/Urban Development.
Ano: 2006 URL: http://purl.umn.edu/21094
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Environment, Welfare and Gains from Trade: A North-South Model in General Equilibrium AgEcon
Diao, Xinshen; Roe, Terry L..
The effects of environment on trade and welfare are analyzed in a modified Heckscher-Ohlin framework using a quasi-homothetic preferences to account for differences in countries' expenditure shares on health. Three types of pollution, local-disembodied, global-disembodied and embodied, result as a by-product of inputs used in production. For each case, the Walrasian, Pareto optimal and the Regulators' problem are analyzed. The optimal tax is shown to improve each country's welfare if the country is small in the world market. Otherwise, changes in the terms of trade may cause one country to be made better off at the expense of the other. Interdependence for the global-disembodied case is explored using a one-shot Nash game. For the embodied pollution,...
Tipo: Working or Discussion Paper Palavras-chave: International Relations/Trade.
Ano: 1995 URL: http://purl.umn.edu/7517
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An Anatomy of Moroccan Agricultural Trade AgEcon
Li, NaiChia; Roe, Terry L.; Diao, Xinshen; Somwaru, Agapi.
Morocco is engaged in a number of economic reforms to better position the country's integration into world markets. Her agricultural sector is particularly important as its trade, GDP, and employment share are relatively large. We analyze Morocco's agricultural trade growth trends over the past 40 years (1962 - 2004) using SITC 4-digit bilateral agricultural trade data. The data are analyzed using the trend and cycles decomposition (TCD) approach and measurement of trade growth at the intensive and extensive margin. We find a high concentration of agriculture trade in both commodities and trading partners. Morocco has also lost export shares in EU to other EU countries in her top exporting commodities. Another finding suggests that agricultural export...
Tipo: Conference Paper or Presentation Palavras-chave: International Relations/Trade.
Ano: 2007 URL: http://purl.umn.edu/9834
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The role of agriculture in development implications for Sub-Saharan Africa AgEcon
Diao, Xinshen; Hazell, Peter B.R.; Resnick, Danielle; Thurlow, James.
This paper provides a nuanced perspective on debates about the potential for Africa’s smallholder agriculture to stimulate growth and alleviate poverty in an increasingly integrated world. In particular, the paper synthesizes both the traditional theoretical literature on agriculture’s role in the development process and discusses more recent literature that remains skeptical about agriculture’s development potential for Africa. In order to examine in greater detail the relevance for Africa of both the “old” and “new” literatures on agriculture, the paper provides a typology of African countries based on their stage of development, agricultural conditions, natural resources, and geographic location… More broadly, the paper demonstrates that conventional...
Tipo: Report Palavras-chave: Growth-poverty linkages; Smallholders; Poverty alleviation; Agricultural development; Africa; Economic aspects; Agricultural sector; Ethiopia; Ghana; Rwanda; Uganda; Zambia; International Development.
Ano: 2006 URL: http://purl.umn.edu/55405
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Impacts of considering climate variability on investment decisions in Ethiopia AgEcon
Block, Paul J.; Strzepek, Kenneth M.; Rosegrant, Mark W.; Diao, Xinshen.
Extreme interannual variability of precipitation within Ethiopia is not uncommon, inducing droughts or floods and often creating serious repercussions on agricultural and non-agricultural commodities. An agro-economic model, including mean climate variables, was developed to assess irrigation and road construction investment strategies in comparison to a baseline scenario over a 12-year time horizon. The motivation for this work is to evaluate whether the inclusion of climate variability in the model has a significant effect on prospective investment strategies and the resulting country-wide economy. The mean climate model is transformed into a variable climate model by dynamically adding yearly climate-yield factors, which influence agricultural...
Tipo: Report Palavras-chave: Climate variability; Climate change; Water; Droughts; Flooding; Irrigation; Economic aspects; Road construction; Investments; Economic situation; Agro-economic model; Food and water security; Environmental Economics and Policy.
Ano: 2006 URL: http://purl.umn.edu/55419
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CHINA'S EMPLOYMENT AND RURAL LABOR MIGRATION AgEcon
Somwaru, Agapi; Diao, Xinshen; Gale, H. Frederick, Jr.; Tuan, Francis C..
This study examines the rural labor market in China based on the country's first national agricultural census. The analysis highlights distinct differences of employment by age, gender, educational level, size of the household, and size of land holdings. We use a generalized polytomous logits (GPL) framework to analyze the patterns of rural labor employment, capture the dynamic trends of the rural labor force, and gauge rural migration. The estimation results, based on more than 4 million records of rural persons, indicate that the land size followed by the education level and age are the main factors affecting the chances of rural labor force by employment categories.
Tipo: Conference Paper or Presentation Palavras-chave: Labor and Human Capital.
Ano: 2001 URL: http://purl.umn.edu/20459
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Agricultural Growth Linkages in Ethiopia: Estimates using Fixed and Flexible Price Models AgEcon
Diao, Xinshen; Fekadu, Belay; Haggblade, Steven; Taffesse, Alemayehu Seyoum; Wamisho, Kassu; Yu, Bingxin.
Accelerating growth and poverty reduction, and the ultimate achievement of structural transformation, are the critical policy challenges in present day Ethiopia. This paper examines relevant growth options in terms of their impact on overall growth and poverty reduction in the country. It deploys a fixed-price semi-input-output model and a flexible-price economy-wide multi-market model for that purpose. The paper finds that agricultural growth can induce higher overall growth and faster poverty reduction than non-agricultural growth, although the latter can also have large growth effects in some cases. Among sub-sectors within agriculture, staple crops have stronger growth linkages. Decomposition of these effects also reveals that consumption linkages are...
Tipo: Working or Discussion Paper Palavras-chave: International Development.
Ano: 2007 URL: http://purl.umn.edu/42419
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Dynamic Gains and Losses from Trade Reform: An Intertemporal General Equilibrium Model of the United States and MERCOSUR AgEcon
Diao, Xinshen; Somwaru, Agapi.
An intertemporal general equilibrium model of the United States and MERCOSUR is created to analyze the dynamic adjustments in both regions' commodity and capital markets after trade liberalization. Simulation results show that tariff reductions initiated by MERCOSUR have small positive effects on the U.S. production, trade, consumption and investment, and stimulates MERCOSUR's growth, and improves its current account. If tariffs are eliminated by both regions, both regions are better off from points of intertemporal social welfare, international trade, domestic investment, and growth. Agriculture benefits more from trade reform, which implies that ruralagricultural sector might have been a victim of trade protection policies.
Tipo: Working or Discussion Paper Palavras-chave: International Relations/Trade.
Ano: 1996 URL: http://purl.umn.edu/7473
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A GLOBAL ANALYSIS OF AGRICULTURAL TRADE REFORM IN WTO MEMBER COUNTRIES AgEcon
Diao, Xinshen; Somwaru, Agapi; Roe, Terry L..
The effect on production, trade and well-being from the granting of market access, removing export subsidies, and eliminating trade-distorting forms of direct support to farmers in WTO member countries is analyzed from a world-wide general equilibrium perspective using the most recently available data. The results suggest that removing trade barriers, subsidies and support will cause aggregate world prices of agricultural commodities to rise by over 11 percent relative to an index of all other prices. Agricultural support and protection in the developed countries is found to be the major cause of low agricultural prices, and implicitly, a tax on net agricultural exporters in developing countries. Livestock product prices are likely to increase the most...
Tipo: Working or Discussion Paper Palavras-chave: International Relations/Trade.
Ano: 2001 URL: http://purl.umn.edu/12984
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WHAT IS THE CAUSE OF GROWTH IN REGIONAL TRADE: TRADE LIBERALIZATION OR RTA'S? THE CASE OF AGRICULTURE AgEcon
Diao, Xinshen; Roe, Terry L.; Somwaru, Agapi.
This paper delves into the debate on the proliferation of regional trade arrangements by focusing on bilateral agricultural trade data over the 1962-1995 period for countries that currently are members of NAFTA, Mercosur, the EU and APEC. Agricultural is chosen because it has historically been protected by developed and dis-protected by developing nations, while in the case of the EU, its Common Agricultural Policy was the major policy jointly managed and funded by member countries. We suggest that the literature has tended to focus on factors explaining the level of trade, and neglected factors affecting growth in trade. While neighborhood characteristics affect neighborhood trade, they also appear to affect the policy regimes of neighboring countries....
Tipo: Working or Discussion Paper Palavras-chave: International trade; Regional trade arrangements; Agricultural trade; International Relations/Trade.
Ano: 1999 URL: http://purl.umn.edu/14605
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Structural Change and Agricultural Protection: Costs of Korean Agricultural Policy, 1975 and 1990 AgEcon
Diao, Xinshen; Dyck, John H.; Skully, David W.; Somwaru, Agapi; Lee, Chinkook.
The economic development of South Korea is often considered a model for developing countries. We use 1975 and 1990 data in a general equilibrium framework with a highly disaggregated sector specification to evaluate the opportunity cost of its agricultural protection. We show that although agriculture's share of the gross domestic product (GDP) declined between 1975 and 1990, the cost of agricultural protection, as measured by the loss in GDP, did not fall. The larger gap between domestic and world prices for the protected sectors exacerbated the distortions in resource allocation. Simulated removal of 1990 agricultural border protection reduced the share of agricultural GDP to the level actually observed in 1996, demonstrating how protection can impede...
Tipo: Report Palavras-chave: South Korea; Food policy; Agricultural development; Computable general equilibrium; Protectionism; Trade liberalization; Rural development; Agricultural and Food Policy.
Ano: 2002 URL: http://purl.umn.edu/33921
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IMPACT OF THE MFA PHASE-OUT ON THE WORLD ECONOMY AN INTERTEMPORAL, GLOBALGENERAL EQUILIBRIUM ANALYSIS AgEcon
Diao, Xinshen; Somwaru, Agapi.
This study focuses on the possible impact of the MFA phase-out on the world economy. Starting from analyzing trends in world textile and apparel trade (T&A), the study found that the developing countries were a growing factor in world T&A trade in recent decades. Moreover, using trade data from 91 countries over 37 years, the empirically investigate of the study indicates a strong positive relationship between trade in textile and apparel and the standard of living. However, about 50 percent of industrial countries’ markets are not available for developing countries and intra-EU trade still accounts for half of total EU imports of T&A products. A more open and freer market in the industrial countries is an important condition for developing...
Tipo: Working or Discussion Paper Palavras-chave: International Relations/Trade.
Ano: 2001 URL: http://purl.umn.edu/16263
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Tell Me Where It Hurts, an' I'll Tell You Who to Call: Industrialize Countries' Agricultural Policies and Developing Countries AgEcon
Diao, Xinshen; Diaz-Bonilla, Eugenio; Robinson, Sherman; Orden, David.
This paper accomplishes two objectives. First, it provides simulation results from a computable general equilibrium (CGE) model that have helped focus the debate about the potential effects of agricultural trade liberalization on developing countries. The aggregate numbers show modest net positive effects over a medium-term period (five years out). First, when developed countries fully remove their subsidies and trade barriers, welfare and GDP of the developing countries rise, as do value added in agricultural production and agro-industries, and agricultural exports. Focal point estimates that we provide are increases in welfare and GDP of $10 billion and $15 billion, respectively, while agricultural value added increases $23 billion and agricultural...
Tipo: Working or Discussion Paper Palavras-chave: Agricultural policies; Developing countries; Industrialized countries; Computable General Equilibrium Models; Trade liberalization; Trade barriers; Subsidies; Agricultural and Food Policy.
Ano: 2005 URL: http://purl.umn.edu/59823
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Regional Disparities in Ghana: Policy Options and Public Investment Implications AgEcon
Al-Hassan, Ramatu M.; Diao, Xinshen.
The development pattern in Ghana is characterised by a north-south divide in which the north lags far behind the south. Ghana has achieved sustained growth and poverty reduction during the 1990s, but such growth did not benefit the three poor northern regions and the development gap has increased between the south and north. One of the most important reasons is that much of the growth has been generated by export agriculture in which northern Ghana has little contribution if any. This paper sets out to identify avenues for pro-poor growth in Ghana, focussing on agricultural opportunities, particularly in northern Ghana. Using an economywide, multimarket model and based on time series production data between 1991 and 2000 and Ghana Living Standards Survey...
Tipo: Working or Discussion Paper Palavras-chave: Ghana; Regional inequality; Poverty reduction; Agricultural growth; Economywide modeling; International Development.
Ano: 2007 URL: http://purl.umn.edu/42421
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ECONOMY-WIDE BENEFITS FROM ESTABLISHING WATER USER-RIGHT MARKETS IN A SPATIALLY HETEROGENEOUS AGRICULTURAL ECONOMY AgEcon
Diao, Xinshen; Roe, Terry L.; Doukkali, Rachid.
This paper analyzes the economy-wide gains obtainable from the allocation of surface irrigation water to its most productive use, and evaluates a decentralized mechanism for achieving this result in a spatially heterogeneous environment. The focus country for the analysis is Morocco. The analysis is based on a general equilibrium model that, in addition to the rest of the economy, captures 83 agricultural production activities, 66 of which are in seven separately identified water districts that span the entire country. The results suggest that a decentralized water trading mechanism could increase agricultural output by 8.3 percent, affect the rental rates of other agricultural inputs at the national level, including labor, and have economy-wide effects...
Tipo: Working or Discussion Paper Palavras-chave: Resource /Energy Economics and Policy.
Ano: 2002 URL: http://purl.umn.edu/12971
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The Effect of Sequencing Trade and Water Market Reform on Interest Groups in Irrigated Agriculture: An Intertemporal Economy-Wide Analysis of the Moroccan Case AgEcon
Diao, Xinshen; Roe, Terry L..
Many of the import competing sectors in Moroccan agriculture are protected while water in irrigated agriculture is priced below its marginal value product. Establishing a water market in this pre-trade reform environment can be welfare decreasing. Further, as the shadow price of water is sensitive to the crops protected by trade policy, farmers growing crops protected pre-trade reform can be made worse off post reform. The resulting decline in rents to sector resources is a source of interest group conflict that can slow the overall reform process. Using an intertemporal general equilibrium model, the paper analyzes the economy-wide effects of the linkages between trade reform and the reform of water markets in irrigated agriculture. We find a strong...
Tipo: Working or Discussion Paper Palavras-chave: Water Markets; Trade Reform. Dynamic General Equilibrium; O41; International Relations/Trade; Resource /Energy Economics and Policy; F13; Q15; Q25.
Ano: 1998 URL: http://purl.umn.edu/7519
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Promoting Sustainable Pro-Poor Growth in Rwandan Agriculture: What are the Policy Options? AgEcon
Morris, Michael L.; Drake, Liz; Ezemenari, Kene; Diao, Xinshen.
In 2000, as part of its strategy for growth and poverty reduction, the Government of Rwanda set a goal to increase per capita income from US$230 to US$900 and halve the incidence of poverty by 2020. Two years after those targets were established Rwanda's first Poverty Reduction Strategy Paper (PRSP) projected that GDP growth in the range of 6 to 7 percent would be needed over the long term for those targets to be realized. The principal sources of growth in the short to medium term were to be the agriculture and manufacturing sectors, with agricultural projected to start at 5.2 percent and accelerate over the period due to productivity improvements. Manufacturing growth was projected to rise sharply to 11.5 percent, based on the expansion of manufacturing...
Tipo: Conference Paper or Presentation Palavras-chave: Environmental Economics and Policy; International Development.
Ano: 2007 URL: http://purl.umn.edu/9908
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How Fiscal (Mis)-Management May Impede Trade Reform: Lessons From an Intertemporal, Multi-Sector General Equilibrium Model for Turkey AgEcon
Diao, Xinshen; Roe, Terry L.; Yeldan, A. Erinc.
We utilize a multi-sector general equilibrium model based on intertemporally optimizing agents to study issues of trade liberalization and fiscal adjustments in the context of the Turkish economy. A key feature of the model is its explicit recognition of the distortionary consequences of excessive borrowing requirements of the public sector through increased domestic interest costs. The model results suggest that the postponement of adjustment to growing public debt and fiscal imbalances could be detrimental; and that in the absence of coordinated fiscal reforms, the welfare gains expected from trade liberalization may significantly be negated.
Tipo: Working or Discussion Paper Palavras-chave: International Relations/Trade.
Ano: 1998 URL: http://purl.umn.edu/7459
Registros recuperados: 66
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