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Case Study: The growth and poverty impacts of trade liberalization in Senegal

Author

Listed:
  • John Cockburn

    (Université Laval, Pavillon J-A DeSève, Quebec, Canada, G1V 0A6;)

  • Erwin Corong

    (Monash University, Centre of Policy Studies, Clayton, Victoria, Australia, 3168)

  • Bernard Decaluwé

    (Université Laval, Pavillon J-A DeSève, Quebec, Canada, G1V 0A6;)

  • Ismaël Fofana

    (Université Laval, Pavillon J-A DeSève, Quebec, Canada, G1V 0A6)

  • Véronique Robichaud

    (Université Laval, Pavillon J-A DeSève, Quebec, Canada, G1V 0A6;)

Abstract

Most empirical studies find relatively small welfare and poverty impacts of trade liberalization, mainly as a result of the static framework generally used, in which welfare gains and poverty impacts result solely from a short term reallocation of resources. Using Senegal as a case study, we illustrate the results of integrating the growth and productivity gain effects of trade liberalization with the resulting long-run impacts on welfare and poverty. We show that the distributional impacts between poor and non-poor depend upon the specific nature of the trade liberalization policies adopted; and the characteristics of the economy in which it occurs. In the Senegalese case, the predicted principal beneficiaries of trade liberalization are urban and higher skill workers.

Suggested Citation

  • John Cockburn & Erwin Corong & Bernard Decaluwé & Ismaël Fofana & Véronique Robichaud, 2010. "Case Study: The growth and poverty impacts of trade liberalization in Senegal," International Journal of Microsimulation, International Microsimulation Association, vol. 3(1), pages 109-113.
    • Handle: RePEc:ijm:journl:v:3:y:2010:i:1:p:109-113
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    File URL: http://ima.natsem.canberra.edu.au/IJM/V3_1/IJM_32.pdf
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    References listed on IDEAS

    as
    1. Keller, Wolfgang, 2000. "Do Trade Patterns and Technology Flows Affect Productivity Growth?," The World Bank Economic Review, World Bank, vol. 14(1), pages 17-47, January.
    2. Baldwin, Richard E. & Robert-Nicoud, Frederic, 2008. "Trade and growth with heterogeneous firms," Journal of International Economics, Elsevier, vol. 74(1), pages 21-34, January.
    3. Elhanan Helpman & Marc J. Melitz & Stephen R. Yeaple, 2004. "Export Versus FDI with Heterogeneous Firms," American Economic Review, American Economic Association, vol. 94(1), pages 300-316, March.
    4. Ravallion, Martin & Lokshin, Michael, 2004. "Gainers and Losers from Trade Reform in Morocco," Conference papers 331308, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    5. John Cockburn & Erwin Corong & Bernard Decaluwé & Ismaël Fofana & Véronique Robichaud, 2010. "The Gender and Poverty Impacts of Trade Liberalization in Senegal," Cahiers de recherche 1013, CIRPEE.
    6. Richard Baldwin, 2005. "Heterogeneous Firms and Trade: Testable and Untestable Properties of the Melitz Model," NBER Working Papers 11471, National Bureau of Economic Research, Inc.
    7. Kim, Euysung, 2000. "Trade liberalization and productivity growth in Korean manufacturing industries: price protection, market power, and scale efficiency," Journal of Development Economics, Elsevier, vol. 62(1), pages 55-83, June.
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    Citations

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    Cited by:

    1. Maisonnave, Hélène & Mamboundou, Pierre Nziengui, 2022. "Agricultural economic reforms, gender inequality and poverty in Senegal," Journal of Policy Modeling, Elsevier, vol. 44(2), pages 361-374.
    2. Anderson, Edward, 2020. "The impact of trade liberalisation on poverty and inequality: Evidence from CGE models," Journal of Policy Modeling, Elsevier, vol. 42(6), pages 1208-1227.
    3. Permani Risti, 2011. "The Impacts of Trade Liberalisation and Technological Change on GDP Growth in Indonesia: A Meta Regression Analysis," Global Economy Journal, De Gruyter, vol. 11(4), pages 1-30, December.
    4. Julio Vicente Cateia & Luc Savard, 2025. "Trade and distribution in Guinea-Bissau: A computable general equilibrium analysis," International Economics and Economic Policy, Springer, vol. 22(1), pages 1-30, February.
    5. Corong, Erwin, 2013. "Gender dimensions and poverty implications of global trade liberalization in the Philippines," Conference papers 332404, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.

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