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Reforming subsidies : a tool-kit for policy simulations

Author

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  • Araar, Abdelkrim
  • Verme, Paolo

Abstract

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.

Suggested Citation

  • Araar, Abdelkrim & Verme, Paolo, 2012. "Reforming subsidies : a tool-kit for policy simulations," Policy Research Working Paper Series 6148, The World Bank.
  • Handle: RePEc:wbk:wbrwps:6148
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    References listed on IDEAS

    as
    1. Hallward-Driemeier,Mary C. & Rijkers,Bob & Waxman,Andrew R., 2015. "Can minimum wages close the gender wage gap ? evidence from Indonesia," Policy Research Working Paper Series 7364, The World Bank.
    2. Asep Suryahadi & Wenefrida Widyanti & Daniel Perwira & Sudarno Sumarto, 2003. "Minimum Wage Policy And Its Impact On Employment In The Urban Formal Sector," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 39(1), pages 29-50.
    3. Magruder, Jeremy R., 2013. "Can minimum wages cause a big push? Evidence from Indonesia," Journal of Development Economics, Elsevier, vol. 100(1), pages 48-62.
    4. Rebitzer, James B. & Taylor, Lowell J., 1995. "The consequences of minimum wage laws Some new theoretical ideas," Journal of Public Economics, Elsevier, pages 245-255.
    5. Kristensen, Nicolai & Cunningham, Wendy, 2006. "Do minimum wages in Latin America and the Caribbean matter ? Evidence from 19 countries," Policy Research Working Paper Series 3870, The World Bank.
    6. Veerle Miranda, 2011. "Cooking, Caring and Volunteering: Unpaid Work Around the World," OECD Social, Employment and Migration Working Papers 116, OECD Publishing.
    7. Burkhauser, Richard V & Couch, Kenneth A & Wittenburg, David C, 2000. "A Reassessment of the New Economics of the Minimum Wage Literature with Monthly Data from the Current Population Survey," Journal of Labor Economics, University of Chicago Press, vol. 18(4), pages 653-680, October.
    8. Ann Harrison & Jason Scorse, 2010. "Multinationals and Anti-sweatshop Activism," American Economic Review, American Economic Association, vol. 100(1), pages 247-273, March.
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    Citations

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    Cited by:

    1. Andrés Camilo ÁLVAREZ-ESPINOSA & Daniel Alejandro ORDOÑEZ & Alejandro NIETO & William WILLS & German ROMERO & Silvia Liliana CALDERÓN, 2015. "Compromiso de Reducción de Emisiones de Gases de Efecto Invernadero: Consecuencias económicas," ARCHIVOS DE ECONOMÍA 014157, DEPARTAMENTO NACIONAL DE PLANEACIÓN.
    2. Rentschler, Jun, 2016. "Incidence and impact: The regional variation of poverty effects due to fossil fuel subsidy reform," Energy Policy, Elsevier, vol. 96(C), pages 491-503.
    3. Paolo Verme & Abdelkrim Araar, 2017. "The Quest for Subsidies Reforms in the Middle East and North Africa Region," World Bank Publications, The World Bank, number 25783.
    4. World Bank, 2016. "Tunisia Poverty Assessment 2015," World Bank Other Operational Studies 24410, The World Bank.
    5. Araar,Abdelkrim & Choueiri,Nada & Verme,Paolo, 2015. "The quest for subsidy reforms in Libya," Policy Research Working Paper Series 7225, The World Bank.
    6. repec:eee:enepol:v:108:y:2017:i:c:p:617-623 is not listed on IDEAS
    7. Cuesta Leiva,Jose Antonio & El Lahga,Abdelrahmen & Lara Ibarra,Gabriel, 2015. "The socioeconomic impacts of energy reform in Tunisia : a simulation approach," Policy Research Working Paper Series 7312, The World Bank.

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    Keywords

    Markets and Market Access; Climate Change Economics; Economic Theory&Research; Debt Markets; Access to Markets;

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