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Trade Liberalisation and Spatial Inequality: Methodological Innovations in Vietnamese Perspective

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  • Tarp Jensen, Henning
  • Tarp, Finn

Abstract

This paper develops a SAM database encompassing 6,002 representative Vietnamese households, mapping one-to-one with 16 aggregate households. The database is used to calibrate two Computable General Equilibrium (CGE) models with respectively 16 aggregate and 6,002 disaggregate households. Aggregate model results are compared to those of the disaggregated model to demonstrate the importance of endogenous modelling of micro households within a static CGE model framework. The methodology of relying on a consistent micro-household data-set achieves the twin objectives of allowing for changes in the distribution of household expenditures and the possibility of computing poverty measures at a very disaggregate level. As such, we aim at contributing with methodological advances in the assessment of the poverty impact of macro-policies.

Suggested Citation

  • Tarp Jensen, Henning & Tarp, Finn, 2003. "Trade Liberalisation and Spatial Inequality: Methodological Innovations in Vietnamese Perspective," MPRA Paper 63630, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:63630
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    References listed on IDEAS

    as
    1. Arndt, Channing & Robinson, Sherman & Tarp, Finn, 2002. "Parameter estimation for a computable general equilibrium model: a maximum entropy approach," Economic Modelling, Elsevier, vol. 19(3), pages 375-398, May.
    2. Yoko Niimi & Puja Vasudeva Dutta & L. Alan Winters, 2015. "Trade Liberalisation and Poverty Dynamics in Vietnam," World Scientific Book Chapters, in: Non-Tariff Barriers, Regionalism and Poverty Essays in Applied International Trade Analysis, chapter 16, pages 333-365, World Scientific Publishing Co. Pte. Ltd..
    3. Golan, Amos & Judge, George & Robinson, Sherman, 1994. "Recovering Information from Incomplete or Partial Multisectoral Economic Data," The Review of Economics and Statistics, MIT Press, vol. 76(3), pages 541-549, August.
    4. Decaluwe, B. & Patry, A. & Savard, L. & Thorbecke, E., 1999. "Poverty Analysis Within a General Equilibrium Framework," Cahiers de recherche 9909, Université Laval - Département d'économique.
    5. Henning Tarp Jensen & Finn Tarp, 2005. "Trade Liberalization and Spatial Inequality: a Methodological Innovation in a Vietnamese Perspective," Review of Development Economics, Wiley Blackwell, vol. 9(1), pages 69-86, February.
    6. repec:pru:wpaper:17 is not listed on IDEAS
    7. C. Arndt & H.T. Jensen & S. Robinson & F. Tarp, 2000. "Marketing Margins and Agricultural Technology in Mozambique," Journal of Development Studies, Taylor & Francis Journals, vol. 37(1), pages 121-137, October.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    poverty; trade liberalization; general equilibrium models; Vietnam;
    All these keywords.

    JEL classification:

    • D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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