Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines

Does a restrictive foreign trade regime reduce the effectiveness of agricultural productivity growth in promoting overall income growth and equity? Based on counterfactual simulations using a multi-sector, computable general equilibrium (CGE) model of the Philippine economy, this paper investigates...

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Autores principales: Bautista, Romeo M., Robinson, Sherman
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 1996
Materias:
Acceso en línea:https://hdl.handle.net/10568/157096
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author Bautista, Romeo M.
Robinson, Sherman
author_browse Bautista, Romeo M.
Robinson, Sherman
author_facet Bautista, Romeo M.
Robinson, Sherman
author_sort Bautista, Romeo M.
collection Repository of Agricultural Research Outputs (CGSpace)
description Does a restrictive foreign trade regime reduce the effectiveness of agricultural productivity growth in promoting overall income growth and equity? Based on counterfactual simulations using a multi-sector, computable general equilibrium (CGE) model of the Philippine economy, this paper investigates quantitatively the economywide income and equity effects of crop productivity growh during the green revolution period 1965-80 under alternative trade policies. The results indicate an inequitable distribution of household income gains under the historical, highly restrictive, trade regime. Trade liberalization is found to favor rural over urban households; small-farm households are the biggest gainers among the five household groups, while Metro Manila households are the biggest losers. Such positive redistributive impact is larger the greater is the extent of trade liberalization. The effect on gross domestic product is also significantly positive, so that the movement towards an open trade regime does not involve a tradeoff between the twin objectives of growth and equity.
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spelling CGSpace1570962025-11-06T07:17:56Z Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines Bautista, Romeo M. Robinson, Sherman foreign trade economic situation crop yield income mathematical models computable general equilibrium models Does a restrictive foreign trade regime reduce the effectiveness of agricultural productivity growth in promoting overall income growth and equity? Based on counterfactual simulations using a multi-sector, computable general equilibrium (CGE) model of the Philippine economy, this paper investigates quantitatively the economywide income and equity effects of crop productivity growh during the green revolution period 1965-80 under alternative trade policies. The results indicate an inequitable distribution of household income gains under the historical, highly restrictive, trade regime. Trade liberalization is found to favor rural over urban households; small-farm households are the biggest gainers among the five household groups, while Metro Manila households are the biggest losers. Such positive redistributive impact is larger the greater is the extent of trade liberalization. The effect on gross domestic product is also significantly positive, so that the movement towards an open trade regime does not involve a tradeoff between the twin objectives of growth and equity. 1996 2024-10-24T12:47:18Z 2024-10-24T12:47:18Z Working Paper https://hdl.handle.net/10568/157096 en Open Access application/pdf International Food Policy Research Institute Bautista, Romeo M.; Robinson, Sherman. 1996. Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines. TMD Discussion Paper 14. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/157096
spellingShingle foreign trade
economic situation
crop yield
income
mathematical models
computable general equilibrium models
Bautista, Romeo M.
Robinson, Sherman
Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines
title Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines
title_full Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines
title_fullStr Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines
title_full_unstemmed Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines
title_short Income and equity effects of crop productivity growth under alternative foreign trade regimes: a CGE analysis for the Philippines
title_sort income and equity effects of crop productivity growth under alternative foreign trade regimes a cge analysis for the philippines
topic foreign trade
economic situation
crop yield
income
mathematical models
computable general equilibrium models
url https://hdl.handle.net/10568/157096
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