MPIA-11680 The Impact of Trade Liberalization on Household Welfare and Poverty in India

Abstract

A 28-sector, 3-factor and 9-household group Computable General Equilibrium (CGE) model for India is constructed to analyze the impacts of Tariff and Non-tariff Barriers (NTBs) on the welfare and poverty of socio-economic household groups. A general cut in tariff leads to a decrease in overall welfare and reduction in poverty, where urban households are relatively in better position. The choice of fiscal compensatory mechanism with indirect tax on domestic consumption does not substantially change the pattern of impact except that it increases overall poverty in the economy. On the other hand, quota reductions on agriculture and food products result in a gain in welfare and a bigger reduction of poverty with rural households doing better than the urban.


Members

Project leader: Amarendra Sahoo

Project researchers: Basanta Pradhan


Journal publication

No journal publications.


Working Papers

Title Modified Size Comments Recommendations
The Impact of Trade Liberalization on Household Welfare and Poverty in India 2006-01-15 219.76KB 0 0

Policy Briefs

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Final report

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Proposal

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