Computable General Equilibrium Micro-Simulation Analysis of the Impact of Trade Policies on Poverty in Zimbabwe

Margaret Chitiga, Tonia Kandiero, Ramos Emmanuel Mabugu
2005 Social Science Research Network  
The paper uses a micro-simulation computable general equilibrium (CGE) model to study the impact on poverty of a complete removal of tariffs in Zimbabwe. The model incorporates 14006 households derived from the 1995 Poverty Assessment Study Survey. This paper's novelty is that it is one among a small group of papers that incorporates individual households in the CGE model as opposed to having representative households. Using individual households allows for a comprehensive analysis of poverty.
more » ... he complete removal of tariffs favours exporting sectors. Poverty falls in the economy while inequality hardly changes. The results differ between rural and urban areas. JEL Classification: C68, D31, D58, I32
doi:10.2139/ssrn.3173250 fatcat:snssyh7pojf37hs2qwmed3gupi