Poverty Impacts of Agricultural Policy Adjustments in an Opening Economy: the Case of Colombia
We aim to assess the sectoral and poverty impacts of changes in agricultural policy in Colombia on the rural sector. For this we use an agriculture specialized static CGE model, together with a microsimulation model that allows employment to shift between sectors. The results indicate that the sectoral impact of the implemented program tends to be small and varies considerably across crops. Also, while it does reduce poverty, these impacts are small and tend to be concentrated in rural households toward the middle of the household income distribution.
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