Towards an explicit modeling of trade facilitation in CGE models: evidence from Egypt
AbstractThis paper develops a dynamic computable general equilibrium (CGE) model incorporating trade facilitation aspects. This paper’s contributions are twofold: theoretical and empirical. First, this paper attempts to model trade facilitation explicitly in a dynamic CGE model applied. On the empirical side, I estimate, not assume, the tariff equivalent of red tape and related procedures at sectoral level. I use the ad valorem tariff equivalents of time to import and to export that have been estimated in a companion paper and I take into account the cost of such a process. To do so, I modify the Exter model that is calibrated on the Egyptian social accounting matrix of 2000/2001. My main findings show that, when trade facilitation is modeled precisely, i.e. by taking into account its cost as well as the tariff equivalents of its aspects, the impact of such a process is reduced. Meanwhile, its impact remains higher than trade liberalization. Moreover, some sectors witness a significant expansion more than others, especially processed food, garments and high value added products.
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 University Library of Munich, Germany in its series MPRA Paper with number 23353.
Date of creation: 10 Apr 2010
Date of revision: 14 Jun 2010
CGE; Trade facilitation; Egypt;
Other versions of this item:
- Chahir Zaki, 2010. "Towards An Explicit Modeling Of Trade Facilitation In Cge Models: Evidence From Egypt," Working Papers 515, Economic Research Forum, revised Apr 2010.
- F11 - International Economics - - Trade - - - Neoclassical Models of Trade
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-06-26 (All new papers)
- NEP-ARA-2010-06-26 (MENA - Middle East & North Africa)
- NEP-CMP-2010-06-26 (Computational Economics)
- NEP-INT-2010-06-26 (International Trade)
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.:
- Denise Eby Konan & Keith E Maskus, 1997. "A Computable General Equilibrium Analysis of Egyptian Trade Liberalization Scenarios," Working Papers 199701, University of Hawaii at Manoa, Department of Economics.
- Régibeau, Pierre & Rockett, Katharine, 2001.
"Administrative Delays as Barriers to Trade,"
CEPR Discussion Papers
3007, C.E.P.R. Discussion Papers.
- Maskus, Keith E & Konan, Denise Eby, 1997. "Trade Liberalization in Egypt," Review of Development Economics, Wiley Blackwell, vol. 1(3), pages 275-93, October.
- Joseph Francois & Hans van Meijl & Frank van Tongeren, 2005. "Trade liberalization in the Doha Development Round," Economic Policy, CEPR & CES & MSH, vol. 20(42), pages 349-391, 04.
- Yvan Decreux & Lionel Fontagné, 2011. "Economic Impact of Potential Outcome of the DDA," Working Papers 2011-23, CEPII research center.
- Kee, Hiau Looi & Nicita, Alessandro & Olarreaga, Marcelo, 2006.
"Estimating trade restrictiveness indices,"
Policy Research Working Paper Series
3840, The World Bank.
- Hoekman, Bernard & Konan, Denise Eby, 1999.
"Deep integration, nondiscrimination, and Euro-Mediterranean free trade,"
Policy Research Working Paper Series
2130, The World Bank.
- Hoekman, Bernard & Konan, Denise, 1999. "Deep Integration, Non-Discrimination and Euro-Mediterranean Free Trade," CEPR Discussion Papers 2095, C.E.P.R. Discussion Papers.
- Denise Eby Konan & Keith Maskus, 1997.
"Joint Trade Liberalization and Tax Reform in a Small Open Economy: The Case of Egypt,"
199703-R, University of Hawaii at Manoa, Department of Economics.
- Konan, Denise Eby & Maskus, Keith E., 2000. "Joint trade liberalization and tax reform in a small open economy: the case of Egypt," Journal of Development Economics, Elsevier, vol. 61(2), pages 365-392, April.
- Rutherford, Thomas F. & Rutstrom, E.E. & Tarr, David, 1993. "Morocco's free trade agreement with the European community : a quantitative assessment," Policy Research Working Paper Series 1173, The World Bank.
- Hertel, Thomas W. & Terrie Walmsley & Ken Itakura, 2001.
"Dynamic Effects of the "New Age" Free Trade Agreement between Japan and Singapore,"
GTAP Working Papers
823, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
- W. Hertel, Thomas, 2001. "Dynamic Effects of the “New Age” Free Trade Agreement between Japan and Singapore," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 16, pages 446-484.
- James E. Anderson & Eric van Wincoop, 2004.
NBER Working Papers
10480, National Bureau of Economic Research, Inc.
- Wilson,John S. & Mann, Catherine L. & Otsuki, Tsunehiro, 2003. "Trade facilitation and economic development : measuring the impact," Policy Research Working Paper Series 2988, The World Bank.
- Jean-Pierre Chauffour & Bernard M., 2013. "Harnessing Trade Opportunities in the Middle East and North Africa," RSCAS Working Papers PP2013/07, European University Institute.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If references are entirely missing, you can add them using this form.