Modeling Distribution Services and Assessing Their Welfare Effects in a General Equilibrium Framework
AbstractMost international trade models fail to account for the fact that almost all goods must pass through the distribution sector. The authors compare different approaches to modeling distribution within an Applied General Equilibrium framework and find that such modeling may significantly affect trade opening simulations. They also predict large potential gains from streamlining distribution. For instance, a 10% reduction in Japan's final goods distribution margins would benefit it as much as worldwide free trade would. They also find that, compared to trade opening, reducing margins leads to smaller inter-sectoral production shifts and thus may engender less political opposition. Copyright � 2006 The Authors; Journal compilation � 2006 Blackwell Publishing Ltd.
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Bibliographic InfoArticle provided by Wiley Blackwell in its journal Review of Development Economics.
Volume (Year): 10 (2006)
Issue (Month): 1 (02)
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Web page: http://www.blackwellpublishing.com/journal.asp?ref=1363-6669
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- Christen, Elisabeth & Francois, Joseph & Hoekman, Bernard, 2012.
"CGE modeling of market access in services,"
Policy Research Working Paper Series
6106, The World Bank.
- Elisabeth Christen & Joseph Francois & Bernard Hoekman, 2012. "CGE modeling of market access in services," Working Papers 2012-13, Faculty of Economics and Statistics, University of Innsbruck.
- Elisabeth M. Christen & Joseph Francois & Bernard Hoekman, 2012. "CGE Modeling of Market Access in Services," Economics working papers 2012-08, Department of Economics, Johannes Kepler University Linz, Austria.
- Piyush Tiwari & Masayuki Doi & Hidekazu Itoh, 2003. "A CGE Analysis of the Potential Impact of Information Technology on the Japanese Economy," Journal of Policy Reform, Taylor and Francis Journals, vol. 6(1), pages 17-33.
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