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Impacts of the Doha Development Agenda on People's Republic of China: The Role of Complementary Education Reforms

Author

Listed:
  • Fan Zhai

    (Asian Development Bank)

  • Thomas Hertel

    (Purdue University)

Abstract

This paper evaluates the poverty impact of mutlilateral trade liberalization under the Doha Round WTO negotiations, using a household-disaggregated, recursive dynamic computable general equilibrium (CGE) model of the People's Republic of China (PRC). It explores how trade liberalization interacts with the reform of improving rural education. Simulation results show that multilateral trade reforms reduce poverty in the PRC, with biggest reductions occurring in rural areas due to higher prices for farm products. Furthermore, the complementary reform on rural education generates substantial gains for the PRC's economy by boosting rural incomes and reducing the incidence of rural poverty significantly.

Suggested Citation

  • Fan Zhai & Thomas Hertel, 2005. "Impacts of the Doha Development Agenda on People's Republic of China: The Role of Complementary Education Reforms," ADB Economics Working Paper Series 73, Asian Development Bank.
  • Handle: RePEc:ris:adbewp:0073
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    References listed on IDEAS

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    2. Hertel, Thomas & Hummels, David & Ivanic, Maros & Keeney, Roman, 2007. "How confident can we be of CGE-based assessments of Free Trade Agreements?," Economic Modelling, Elsevier, vol. 24(4), pages 611-635, July.
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    Cited by:

    1. Elnour, Zuhal & Siddig, Khalid & Grethe, Harald, 2025. "Economy-wide implications of increasing school enrolment in Sub-Saharan Africa," International Journal of Educational Development, Elsevier, vol. 118(C).

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    More about this item

    Keywords

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    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F17 - International Economics - - Trade - - - Trade Forecasting and Simulation
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality

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