Philippine rice and rural poverty: an impact analysis of market reform using CGE

This paper looks at how Philippine trade reform which consists of tariff reduction and elimination of quantitative restrictions (QR) on rice imports will affect poverty within two world trade scenarios: Doha and free world trade. The impact of Doha is very small and generates biased effects against...

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Autor principal: Cororaton, Caesar B.
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2006
Materias:
Acceso en línea:https://hdl.handle.net/10568/160450
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author Cororaton, Caesar B.
author_browse Cororaton, Caesar B.
author_facet Cororaton, Caesar B.
author_sort Cororaton, Caesar B.
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper looks at how Philippine trade reform which consists of tariff reduction and elimination of quantitative restrictions (QR) on rice imports will affect poverty within two world trade scenarios: Doha and free world trade. The impact of Doha is very small and generates biased effects against agriculture. The impact of Philippine trade reform within the Doha agenda magnifies this biased effect, making rural households worse-off compared to urban households. However, eliminating rice QR generates a set of effects where consumer price reduction dominates nominal income decline. Thus, real income improves and poverty declines across household groups, but the net effects are lower in rural than in urban households. The impact of a free world trade economy is favorable in terms of higher export prices and export demand for agriculture and agriculture-related manufacturing industries. This mitigates the biased effects against agriculture, and is therefore favorable to rural households. However, if Philippine trade reform is added to the analysis, the result switches back to the previous biased effects on agriculture and on rural households.
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spelling CGSpace1604502025-11-06T05:07:26Z Philippine rice and rural poverty: an impact analysis of market reform using CGE Cororaton, Caesar B. rice agriculture poverty computable general equilibrium models free trade consumer prices This paper looks at how Philippine trade reform which consists of tariff reduction and elimination of quantitative restrictions (QR) on rice imports will affect poverty within two world trade scenarios: Doha and free world trade. The impact of Doha is very small and generates biased effects against agriculture. The impact of Philippine trade reform within the Doha agenda magnifies this biased effect, making rural households worse-off compared to urban households. However, eliminating rice QR generates a set of effects where consumer price reduction dominates nominal income decline. Thus, real income improves and poverty declines across household groups, but the net effects are lower in rural than in urban households. The impact of a free world trade economy is favorable in terms of higher export prices and export demand for agriculture and agriculture-related manufacturing industries. This mitigates the biased effects against agriculture, and is therefore favorable to rural households. However, if Philippine trade reform is added to the analysis, the result switches back to the previous biased effects on agriculture and on rural households. 2006 2024-11-21T09:50:49Z 2024-11-21T09:50:49Z Working Paper https://hdl.handle.net/10568/160450 en Open Access application/pdf International Food Policy Research Institute Cororaton, Caesar B. 2006. Philippine rice and rural poverty: an impact analysis of market reform using CGE. MTID Discussion Paper 96. Washington, DC: International Food Policy Research Institute (IFPRI). https://hdl.handle.net/10568/160450
spellingShingle rice
agriculture
poverty
computable general equilibrium models
free trade
consumer prices
Cororaton, Caesar B.
Philippine rice and rural poverty: an impact analysis of market reform using CGE
title Philippine rice and rural poverty: an impact analysis of market reform using CGE
title_full Philippine rice and rural poverty: an impact analysis of market reform using CGE
title_fullStr Philippine rice and rural poverty: an impact analysis of market reform using CGE
title_full_unstemmed Philippine rice and rural poverty: an impact analysis of market reform using CGE
title_short Philippine rice and rural poverty: an impact analysis of market reform using CGE
title_sort philippine rice and rural poverty an impact analysis of market reform using cge
topic rice
agriculture
poverty
computable general equilibrium models
free trade
consumer prices
url https://hdl.handle.net/10568/160450
work_keys_str_mv AT cororatoncaesarb philippinericeandruralpovertyanimpactanalysisofmarketreformusingcge