IDEAS home Printed from
   My bibliography  Save this paper

Construction d'un MEGC pour l'évaluation de l'impact de la politique économique au Cameroun sur le secteur informel et la pauvreté
[Evaluation of the effects of economic policies on informal sector performance and poverty in Cameroon: a Computable General Equilibrium model analysis]


  • Alia, Didier
  • Ndjana, Willy
  • Nghogue, Erith


The main purpose of this paper is to evaluate the effects of economic policies on informal sector performances and poverty in Cameroon. It is based on a computable general equilibrium. The model has 5 production sectors including 2 commercial sectors, 2 tradable sectors and 1 non tradable sector, 4 production factors and 3 representative households. It has the advantage of incorporating a detailed modeling of transfers, taxes and consideration of trading margins. The data used in study come from a social accounting matrix developed for Cameroon with 2003 as base year and the third Cameroonians households survey which includes 11,391 households divided into formal households (27.42%), informal agricultural households (36.10%) and informal non-agricultural households (36.48%). Three types of policies have been simulated: the rise of informal household investment through the programs PIAASI and PADER, rising salaries of civilian and military personnel followed by the reduction of import taxes rate, and the combination of the two previous measures. The main results suggest that the increase in informal household’s investment has a positive effect on the performance of the informal sector and led to a decrease in household poverty in this sector. However, it has the opposite effect on the formal sector. As against, rising wages and reduction of import taxes rate is beneficial to the formal sector, but less favorable to the informal sector. The combination of two effects resulted in attenuation of the effect of the each of them.

Suggested Citation

  • Alia, Didier & Ndjana, Willy & Nghogue, Erith, 2009. "Construction d'un MEGC pour l'évaluation de l'impact de la politique économique au Cameroun sur le secteur informel et la pauvreté
    [Evaluation of the effects of economic policies on informal sector
    ," MPRA Paper 30339, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:30339

    Download full text from publisher

    File URL:
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    1. Bourguignon, Francois & De Melo, Jaime & Suwa, Akiko, 1991. "Modeling the effects of adjustment programs on income distribution," World Development, Elsevier, vol. 19(11), pages 1527-1544, November.
    2. Jean-Marc Montaud, 2000. "Deux approches macroéconomiques du secteur informel en Equateur," Documents de travail 47, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV.
    3. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
    4. Emini, Christian Arnault & Cockburn, John & Decaluwe, Bernard, 2005. "The poverty impacts of the Doha Round in Cameroon : the role of tax policy," Policy Research Working Paper Series 3746, The World Bank.
    5. Kelley, Bruce, 1994. "The informal sector and the macroeconomy: A computable general equilibrium approach for Peru," World Development, Elsevier, vol. 22(9), pages 1393-1411, September.
    6. Christian Arnault Émini & Dorine Kanmi Feunou, 2008. "Décomposition des effets des politiques économiques sur l'évolution de la pauvreté au Cameroun: une analyse en équilibre général micro-simulé avec double calibration," Working Papers MPIA 2008-18, PEP-MPIA.
    7. D. Boccanfuso & F. Cabral & F. Cissé & A. Diagne & L. Savard, 2003. "Pauvreté et distribution de revenus au Sénégal: une approche par la modélisation en équilibre général calculable micro-simulé," Cahiers de recherche 0333, CIRPEE.
    8. Thorbecke, Erik, 1991. "Adjustment, growth and income distribution in Indonesia," World Development, Elsevier, vol. 19(11), pages 1595-1614, November.
    Full references (including those not matched with items on IDEAS)

    More about this item


    EGC Model ; Economic policy ; Informal sector ; Poverty;

    JEL classification:

    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
    • D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
    • E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:30339. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter) or (Rebekah McClure). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.