Trade liberalization and poverty dynamics in Vietnam 2002-2006
This paper shows the evolution of poverty in Vietnam during the deepening of trade liberalization and examines the impact of trade-related variables at the household level. The study is based on a panel dataset of households followed in 2002, 2004 and 2006. Trade-related variables at the household level are defined as the household specialization in terms of production and employment with respect to the type of jobs (wage earners or self-employed) and sectors (import-competing or exported manufactured goods, services, and in agriculture, rice, exported, subsistence and import-competing crops). For the poor, besides the expected positive impact of working in an export-related sector (in industry and in agriculture), diversification in self-employed non-farm activities appears to have been efficient at alleviating poverty. Moreover, the import-competing sectors (in industry and in agriculture) play also a positive role in poverty alleviation. The latter channel could be hindered in the near future, as Vietnam is now in the process of decreasing its import protection.
|Date of creation:||May 2010|
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- Prema-chandra Athukorala, 2006.
"Trade Policy Reforms and the Structure of Protection in Vietnam,"
The World Economy,
Wiley Blackwell, vol. 29(2), pages 161-187, 02.
- Prema-chandra Athukorala, 2005. "Trade Policy Reforms and the Structure of Protection in Vietnam," Departmental Working Papers 2005-06, The Australian National University, Arndt-Corden Department of Economics.