Rethinking the Redistribution Effects of Trade Liberalization in Egypt: A Microsimulation Analysis
AbstractThis paper aims at evaluating the liberalization policies effects on inequality in Egypt with respect to gender, region and qualification level. No previous studies in Egypt, to our best knowledge, have used the Microsimulation analysis which is a good tool that allows such an evaluation and determines the redistribution aspects of macro policies. The latter consists of linking macroeconomic changes to the micro level of the economy i.e. the individual level. A Computable General Equilibrium model (CGE) is first estimated for a maximum tariff rate of 10%. And, wages and employment changes resulted from the CGE are replicated, in a second stage, into our micro data. Results show that liberalization policies have important impacts on inequalities among the Egyptian population in general. Inequality has decreased among males and females as well as among different regions of the Egyptian society but has increased among high-skilled and low-skilled workers. Results of the present research have important policy implications that have to be considered.
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 23354.
Date of creation: Dec 2009
Date of revision:
Trade liberalization; Egypt; CGE;
Other versions of this item:
- Rana HENDY & Chahir ZAKI, 2009. "“Rethinking the Redistribution Effects of Trade Liberalization in Egypt : A Microsimulation Analysis”," Working Papers 2009-23, Centre de Recherche en Economie et Statistique.
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
- D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
- J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
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.:
- Mohamed Abdelbasset Chemingui & Chokri Thabet, 2008. "Agricultural Trade Liberalization and Poverty in Tunisia: Micro-simulation in a General Equilibrium Framework," Working Papers MPIA 2008-03, PEP-MPIA.
- François Bourguignon & Anne-Sophie Robilliard & Sherman Robinson, 2003.
"Representative versus real households in the macro-economic modeling of inequality,"
DT/2003/10, DIAL (Développement, Institutions et Mondialisation).
- François Bourguignon & Anne-Sophie Robilliard & Sherman Robinson, 2003. "Representative versus real households in the macro-economic modeling of inequality," DELTA Working Papers 2003-05, DELTA (Ecole normale supérieure).
- Sherman, Robinson & Robilliard, Anne-Sophie & Bourguignon, François, 2005. "Representative versus real households in the macro-economic modelling of inequality," Economics Papers from University Paris Dauphine 123456789/4535, Paris Dauphine University.
- Decaluwé, Bernard & Dumont, Jean-Christophe & Savard, Luc, 2000. "Measuring Poverty and Inequality in a Computable General Equilibrium Model," Cahiers de recherche 9926, Université Laval - Département d'économique.
- Paolo Epifani & Gino Gancia, 2004.
"The skill bias of world trade,"
Economics Working Papers
833, Department of Economics and Business, Universitat Pompeu Fabra, revised Mar 2007.
- Paolo Epifani & Gino Gancia, 2002. "The Skill Bias of World Trade," KITeS Working Papers 129, KITeS, Centre for Knowledge, Internationalization and Technology Studies, Universita' Bocconi, Milano, Italy, revised Mar 2001.
- Epifani, Paolo & Gancia, Gino, 2002. "The Skill Bias of World Trade," Seminar Papers 707, Stockholm University, Institute for International Economic Studies.
- Paolo Epifani & Gino Gancia, 2004. "The Skill Bias of World Trade," Working Papers 184, Barcelona Graduate School of Economics.
- 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.
- 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.
- Peter Haan, 2004. "Discrete Choice Labor Supply: Conditional Logit vs. Random Coefficient Models," Discussion Papers of DIW Berlin 394, DIW Berlin, German Institute for Economic Research.
- Bourguignon, François & Robilliard, Anne-Sophie & Robinson, Sherman, 2008. "Examining the Social Impact of the Indonesian Financial Crisis Using a Macro-Micro Model," Economics Papers from University Paris Dauphine 123456789/5130, Paris Dauphine University.
- Colombo, Giulia, 2008. "Linking CGE and Microsimulation Models: A Comparison of Different Approaches," ZEW Discussion Papers 08-054, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Luc Savard, 2003. "Poverty and Income Distribution in a CGE-Household Micro-Simulation Model: Top-Down/Bottom Up Approach," Cahiers de recherche 0343, CIRPEE.
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.