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Title:Trade Liberalization and Income Distribution: A CGE Model for Jordan PDF Logo
Authors:Feraboli, Omar
Trimborn, Timo
Issue Date:2009
Series/Report no.:Proceedings of the German Development Economics Conference, Frankfurt a.M. 2009 10
Abstract:The Association Agreement between Jordan and the EU entered into force in 2002. It provides a gradual reduction of import duties on EU products over a period of twelve years. In this paper we investigate the economic implications of induced trade liberalization on aggregate economic performance as well as effects on welfare and income distribution of heterogenous households. This is done by introducing heterogenous households into a standard neoclassical dynamic computable general equilibrium model. Thereby individual households' tax rate, wage rate, initial endowment of assets, transfers from government and abroad, as well as individual preferences, are calibrated by data from a household survey.
Subjects:Dynamic CGE
Heterogenous households
Trade liberalisation
Jordan
JEL:C68
F11
I32
D31
Document Type:Conference Paper
Appears in Collections:Proceedings of the German Development Economics Conference, 2009 (Frankfurt a.M.)

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