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On the Choice of Appropriate Development Strategy: Insights from CGE Modelling of the Mozambican Economy

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  • Henning Tarp Jensen
  • Finn Tarp

Abstract

This paper makes use of a 1997 computable general equilibrium (CGE) model to analyse three potential strategies that Mozambique can pursue unilaterally with a view to initiating a sustainable development process. They include (i) an agriculture-first strategy, (ii) an agricultural-development led industrialization (ADLI) strategy, and (iii) a primary-sector export-oriented strategy. The ADLI strategy dominates the other development strategies since important synergy effects in aggregate welfare arise from including key agro-industry sectors into the agriculture-first development strategy.

Suggested Citation

  • Henning Tarp Jensen & Finn Tarp, 2001. "On the Choice of Appropriate Development Strategy: Insights from CGE Modelling of the Mozambican Economy," WIDER Working Paper Series DP2001-146, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:dp2001-146
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    File URL: https://www.wider.unu.edu/sites/default/files/dp2001-146.pdf
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    References listed on IDEAS

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    1. Arndt, Channing & Cruz, Antonio & Jensen, Henning Tarp & Robinson, Sherman & Tarp, Finn, 1998. "Social accounting matrices for Mozambique, 1994 and 1995:," TMD discussion papers 28, International Food Policy Research Institute (IFPRI).
    2. C. Arndt & H.T. Jensen & S. Robinson & F. Tarp, 2000. "Marketing Margins and Agricultural Technology in Mozambique," Journal of Development Studies, Taylor & Francis Journals, vol. 37(1), pages 121-137, October.
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    Cited by:

    1. Mikkel Barslund, 2011. "Censored Demand System Estimation with Endogenous Expenditures in clustered samples: an application to food demand in urban Mozambique," LICOS Discussion Papers 28011, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
    2. João Z. Carrilho & Ines A. Ferreira & Rui N. Ribeiro & Finn Tarp, 2021. "The relative neglect of agriculture in Mozambique," WIDER Working Paper Series wp-2021-135, World Institute for Development Economic Research (UNU-WIDER).

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