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Reforming subsidies : a tool-kit for policy simulations

  • Araar, Abdelkrim
  • Verme, Paolo

The paper provides basic guidelines and tools for simulating subsidy reforms with Stata using a single cross-section survey. Simulations are discussed under a partial equilibrium and medium-term framework using a marginal approach. The paper distinguishes between single priced products, such as fuel or bread, and multiple priced products, such as household utilities. Part I provides basic instructions for carrying out subsidy analyses. Part II outlines economic theory and formulae for the two types of products considered. Part III illustrates the use of the Stata codes, which are downloadable from the Internet.

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File URL: http://www-wds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2012/07/24/000158349_20120724110020/Rendered/PDF/WPS6148.pdf
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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 6148.

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Date of creation: 01 Jul 2012
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Handle: RePEc:wbk:wbrwps:6148
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