Macroeconomic Impact of a Tariff Reduction: A Three-Gap Analysis with Model Simulations (final) (original) (raw)
Related papers
Who Benefits from the Tariff Reforms?
Who benefits from the tariff reforms launched by the Philippine government from 1994-2000? On the basis of the results of his simulation runs, the author of this Policy Notes suggests that tariff reduction is generally pro-poor as shown by the drop in poverty incidence as a whole due to the increase in factor prices and decline in consumer prices. However, the simulation results also indicate that there is a bias in favor of factors employed in the manufacturing sector as industry expanded while agriculture contracted. More details are shown in this Policy Notes.unemployment, income distribution, computable general equilibrium (CGE), poverty, tariff reform
Fiscal implications of multilateral tariff cuts
2006
The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate.
Impact of the proposals for tariff reductions on non- agricultural goods (NAMA) 1
The study assesses the impacts of a formula-based tariff reduction of non-agricultural goods on Brazilian economy, using a multi-region and multi-sector computable general equilibrium (CGE) model. We used a Swiss Formula tariff cut, considering three different coefficients. The CGE model used in the simulation was the Global Trade Analysis Project (GTAP) and all tariff shocks were calculated from MAcMap database. Besides analyzing macroeconomic and sector results, we have tested the sensibility of the result regarding Armington elasticities increase and the implementation of a simplified agricultural tariff liberalization.
Impacts of the proposals for tariff reductions in non-agricultural goods ( NAMA ) 1 Allexandro
2006
Abstract: The study aims at evaluating the impacts of alternative formula-based tariff reduction of nonagricultural goods on Brazilian economy using a computable general equilibrium model. It were simulated the implementation of Swiss formula tariff cut, considering different coefficients. The simulations were carried out with the GTAP model and all tariff shocks were calculated from MAcMap database. Besides analyzing macroeconomic and sectoral results, it also was have tested the sensibility of the result regarding Armington elasticities increase and the implementation of a simultaneous agricultural tariff liberalization.
Margin: The Journal of Applied Economic Research, 2016
Our purpose is to undertake a comparative analysis of the likely impact of tariff reduction under the Trans-Pacific Partnership (TPP) on various macro and trade variables of the Indian economy under different scenarios. The TPP was concluded in October 2015, but it is yet to be ratified by the partner countries, and while Asian giants like India, China and Korea have not joined the TPP, there are some talks about their joining the partnership in future. Ours is a unique study that evaluates India’s perspective on joining the TPP, in terms of tariff reduction, and not in terms of the removal of non-tariff barriers. We employ the widely used standard Global Trade Analysis Project (GTAP) model for this exercise. This is a unique framework with a global economy-wide approach, in a Computable General Equilibrium (CGE) setting. Five different scenarios of complete integration in terms of tariff reduction between different regions are simulated using the GTAP model. Under each scenario, the tariff among members of a group of regions is eliminated, but is unchanged for other regions. Higher welfare arising from allocative efficiency comes with the cost of a relatively lower consumption of domestic products and investment, resulting in a loss in terms of GDP. Therefore, we conclude that there are mixed prospects and no strong reason for India to pursue being part of the TPP in future, from a perspective of tariff reductions. JEL Classification:F15, F17
The trade effects of tariffs and non-tariff changes of preferential trade agreements
Economic Modelling
The Centre for Applied Macroeconomic Analysis in the Crawford School of Public Policy has been established to build strong links between professional macroeconomists. It provides a forum for quality macroeconomic research and discussion of policy issues between academia, government and the private sector. The Crawford School of Public Policy is the Australian National University's public policy school, serving and influencing Australia, Asia and the Pacific through advanced policy research, graduate and executive education, and policy impact.
An Analysis of Philippine Trade Reforms in 1995-2000 Using the 1994 APEX Model
2000
There are three major developments in the area of foreign trade in 1990s: (a) the WTO-Uruguay Round agreement in 1995; (b) the AFTA agreement; and (c) the series of unilateral trade reform programs of the government. The paper attempts to make an impact assessment of these reforms during the period 1995 and 2000 using the updated APEX model, a computable