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Quantitative Impacts Of Basic Income Grant On Income Distribution In Cote D’Ivoire: Time To Change Our Societies

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  • AKA, Bedia François
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    This paper tries to engage the economic and political debate around the proposition of a basic income grant (BIG) in Côte d’Ivoire. We simulate the economic wide and distributional impact of a universal basic income grant (BIG) in Cote d’Ivoire. How the BIG is financed is investigated. We use a microsimulated computable general equilibrium (CGE) model to analyze the effects of a universal basic income grant on the economy and on households. The model is performed using a Côte d’Ivoire’s 2003 social accounting matrix (SAM) based on the 1998 household survey composed of 4,200 households, and 2003 national accounts data. The paper uses a value added tax (VAT) financing approach to provide a reasonable feasible scenario, as we are all consumers. The results suggest that the macroeconomic impacts of the basic income grant are a powerful social protection tool in fighting poverty and inequality towards a welfare state.

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    File URL: http://www.usc.es/econo/RGE/Vol25/rge25112.pdf
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    Article provided by University of Santiago de Compostela. Faculty of Economics and Business. in its journal Revista Galega de Economía.

    Volume (Year): 25 (2016)
    Issue (Month): 1 ()
    Pages: 159-170

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    Handle: RePEc:sdo:regaec:v:25:y:2016:i:1_12
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    Web page: http://www.usc.es/econo/RGE/benvidag.htm

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    12. Sen, Amartya K, 1976. "Poverty: An Ordinal Approach to Measurement," Econometrica, Econometric Society, vol. 44(2), pages 219-231, March.
    13. Decaluwe, B. & Patry, A. & Savard, L. & Thorbecke, E., 1999. "Poverty Analysis Within a General Equilibrium Framework," Cahiers de recherche 9909, Université Laval - Département d'économique.
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    16. Thorbecke, Erik, 1991. "Adjustment, growth and income distribution in Indonesia," World Development, Elsevier, vol. 19(11), pages 1595-1614, November.
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