Rwanda: Systematic analysis of domestic production and world market shocks

This study explores Rwanda’s vulnerability to economic shocks and identifies those contributing most to economic uncertainty. The Rwandan Computable General Equilibrium (CGE) model was employed to simulate a range of potential economic outcomes under various sampled shock scenarios developed using h...

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Main Authors: Mukashov, Askar, Warner, James, Jones, Eleanor, Thurlow, James
Format: Brief
Language:Inglés
Published: International Food Policy Research Institute 2024
Subjects:
Online Access:https://hdl.handle.net/10568/168183
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author Mukashov, Askar
Warner, James
Jones, Eleanor
Thurlow, James
author_browse Jones, Eleanor
Mukashov, Askar
Thurlow, James
Warner, James
author_facet Mukashov, Askar
Warner, James
Jones, Eleanor
Thurlow, James
author_sort Mukashov, Askar
collection Repository of Agricultural Research Outputs (CGSpace)
description This study explores Rwanda’s vulnerability to economic shocks and identifies those contributing most to economic uncertainty. The Rwandan Computable General Equilibrium (CGE) model was employed to simulate a range of potential economic outcomes under various sampled shock scenarios developed using historical data to capture domestic agricultural yield volatilities and world market prices uncertainty for traded goods. Data mining and machine learning methods were applied to quantify the contribution of each shock to the uncertainty of economic outcomes (gross domestic product [GDP], private consumption, poverty, and undernourishment). Key findings suggest that domestic root and cereal yield volatility risks are the most important for GDP, poverty, and undernourishment outcomes, while external factors like world energy prices pose the most significant risks to high-income households’ consumption. Understanding how possible shocks would impact various segments of the Rwandan economy and population is a critical first step in facilitating discussions on relevant risk mitigation strategies, such as increasing average crop yields, adopting technologies and practices that narrow yield uncertainties, or diversifying production away from risky crops and sectors.
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spelling CGSpace1681832025-11-06T04:38:00Z Rwanda: Systematic analysis of domestic production and world market shocks Mukashov, Askar Warner, James Jones, Eleanor Thurlow, James risk assessment climate shock economic shock market prices computable general equilibrium models machine learning agriculture crop yield This study explores Rwanda’s vulnerability to economic shocks and identifies those contributing most to economic uncertainty. The Rwandan Computable General Equilibrium (CGE) model was employed to simulate a range of potential economic outcomes under various sampled shock scenarios developed using historical data to capture domestic agricultural yield volatilities and world market prices uncertainty for traded goods. Data mining and machine learning methods were applied to quantify the contribution of each shock to the uncertainty of economic outcomes (gross domestic product [GDP], private consumption, poverty, and undernourishment). Key findings suggest that domestic root and cereal yield volatility risks are the most important for GDP, poverty, and undernourishment outcomes, while external factors like world energy prices pose the most significant risks to high-income households’ consumption. Understanding how possible shocks would impact various segments of the Rwandan economy and population is a critical first step in facilitating discussions on relevant risk mitigation strategies, such as increasing average crop yields, adopting technologies and practices that narrow yield uncertainties, or diversifying production away from risky crops and sectors. 2024-12-20 2024-12-20T19:20:32Z 2024-12-20T19:20:32Z Brief https://hdl.handle.net/10568/168183 en https://hdl.handle.net/10568/158180 Open Access application/pdf International Food Policy Research Institute Mukashov, Askar; Warner, James; Jones, Eleanor; and Thurlow, James. 2024. Rwanda: Systematic analysis of domestic production and world market shocks. Economywide Risk Assessment Country Brief 1. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/168183
spellingShingle risk assessment
climate
shock
economic shock
market prices
computable general equilibrium models
machine learning
agriculture
crop yield
Mukashov, Askar
Warner, James
Jones, Eleanor
Thurlow, James
Rwanda: Systematic analysis of domestic production and world market shocks
title Rwanda: Systematic analysis of domestic production and world market shocks
title_full Rwanda: Systematic analysis of domestic production and world market shocks
title_fullStr Rwanda: Systematic analysis of domestic production and world market shocks
title_full_unstemmed Rwanda: Systematic analysis of domestic production and world market shocks
title_short Rwanda: Systematic analysis of domestic production and world market shocks
title_sort rwanda systematic analysis of domestic production and world market shocks
topic risk assessment
climate
shock
economic shock
market prices
computable general equilibrium models
machine learning
agriculture
crop yield
url https://hdl.handle.net/10568/168183
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