Reducing Tariffs according to WTO Accession Rules: The Case of Vietnam
AbstractWhen Vietnam entered WTO in 2007 it was granted an accession period up to 2014. During this period tariffs would have to fall according to the accession agreement. This paper evaluates this 2007-2014 trade liberalization by building an applied general equilibrium model and calibrating it to the Vietnamese data. The model pays careful attention to the fact that Vietnam has many state-owned enterprises that do not behave in a profit maximizing way. The model simulations show that the WTO imposed tariff reforms will reduce the overall welfare level of the Vietnamese households. Moreover, the biggest loss of income will take place among the poor rural households in Vietnam. We propose other tariff reforms that both raise overall welfare and reduce income inequality.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 3628.
Date of creation: 2011
Date of revision:
Vietnam; WTO accession; trade reforms; state-owned enterprises;
Other versions of this item:
- Henrik Barslund Fosse & Pascalis Raimondos‐Møller, 2012. "Reducing Tariffs According to WTO Accession Rules: The Case of Vietnam," Review of Development Economics, Wiley Blackwell, vol. 16(2), pages 331-341, 05.
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- F17 - International Economics - - Trade - - - Trade Forecasting and Simulation
- C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- John Whalley & Shunming Zhang, 2006. "State-Owned Enterprise Behaviour Responses to Trade Reforms: Some Analytics and Numerical Simulation Results Using Chinese Data," NBER Working Papers 12780, National Bureau of Economic Research, Inc.
- Madanmohan Ghosh & John Whalley, 2000.
"State-Owned Enterprises, Shirking and Trade Liberalization,"
NBER Working Papers
7696, National Bureau of Economic Research, Inc.
- Ghosh, Madanmohan & Whalley, John, 2008. "State owned enterprises, shirking and trade liberalization," Economic Modelling, Elsevier, vol. 25(6), pages 1206-1215, November.
- Ghosh Madanmohan & John Whalley, 2000. "State-Owned Enterprises, Shirking and Trade Liberalization," CESifo Working Paper Series 300, CESifo Group Munich.
- Abbott, Philip & Bentzen, Jeanet & Tarp, Finn, 2009. "Trade and Development: Lessons from Vietnam's Past Trade Agreements," World Development, Elsevier, vol. 37(2), pages 341-353, February.
- Sjöholm, Fredrik, 2006. "State Owned Enterprises And Equitization In Vietnam," EIJS Working Paper Series 228, The European Institute of Japanese Studies.
- Raimondos-Møller, Pascalis & Woodland, Alan D, 2006.
"Steepest Ascent Tariff Reforms,"
CEPR Discussion Papers
5782, C.E.P.R. Discussion Papers.
- Pascalis Raimondos-Møller & Alan D. Woodland, 2006. "Steepest Ascent Tariff Reforms," CESifo Working Paper Series 1760, CESifo Group Munich.
- Woodland, Alan D. & Raimondos-Møller, Pascalis, 2006. "Steepest Ascent Tariff Reforms," Working Papers 04-2006, Copenhagen Business School, Department of Economics.
- Jonathan Haughton & Nguyen The Quan & Nguyen Hoang Bao, 2006. "Tax Incidence in Vietnam ," Asian Economic Journal, East Asian Economic Association, vol. 20(2), pages 217-239, 06.
- Hatta, Tatsuo, 1977. "A Theory of Piecemeal Policy Recommendations," Review of Economic Studies, Wiley Blackwell, vol. 44(1), pages 1-21, February.
- Nielsen, Chantal Pohl, 2002. "Social accounting matrices for Vietnam 1996 and 1997," TMD discussion papers 86, International Food Policy Research Institute (IFPRI).
- James A. Schmitz, 1996. "The role played by public enterprises: how much does it differ across countries?," Quarterly Review, Federal Reserve Bank of Minneapolis, issue Spr, pages 2-15.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Julio Saavedra).
If references are entirely missing, you can add them using this form.