Would Multilateral Trade Reform Benefit Sub-Saharan Africans?

This paper examines whether the Sub-Saharan African economies could gain from multilateral trade reform in the presence of trade preferences. The World Bank's LINKAGE model of the global economy is employed to examine the impact first of current trade barriers and agricultural subsidies, and then of possible outcomes from the WTO's Doha round. The results suggest moving to free global merchandise trade would boost real incomes in Sub-Saharan Africa proportionately more than in other developing countries or in high-income countries, despite a terms of trade loss in parts of the region. Farm employment and output, the real value of agricultural and food exports, the real returns to farm land and unskilled labor, and real net farm incomes would all rise in the region, thereby alleviating poverty. A Doha partial liberalization of both agricultural and nonagricultural trade could significantly benefit the region.

Bibliographic Details

Main Authors:	van der Mensbrugghe, Dominique, Anderson, Kym, Martin, Will
Language:	English
Published:	World Bank, Washington, DC 2005-06
Subjects:	AGGREGATE IMPORTS, AGRICULTURAL EXPORT SUBSIDIES, AGRICULTURAL MARKETS, AGRICULTURAL OUTPUT, AGRICULTURAL PRODUCTION, AGRICULTURAL PRODUCTS, AGRICULTURAL PROTECTION, AGRICULTURAL SECTOR, AGRICULTURAL SUBSIDIES, AGRICULTURAL SUPPORT, AGRICULTURAL TRADE, AGRICULTURE, APPLIED TARIFF, AVERAGE TARIFFS, BASE YEAR, BENCHMARK, BILATERAL TRADE, CAPITAL ACCOUNT, CAPITAL ACCUMULATION, CAPITAL GOODS, CONCESSIONS, CONSTANT RETURNS TO SCALE, CONSUMER PRICE INDEX, CONSUMERS, COUNTRY CASE STUDY, COUNTRY MARKETS, CURRENT ACCOUNT, CURRENT ACCOUNT BALANCE, DEVELOPED COUNTRIES, DEVELOPING COUNTRIES, DEVELOPING COUNTRY, DEVELOPMENT AID, DOMESTIC CONSUMPTION, DOMESTIC PRODUCTION, DOMESTIC PRODUCTION SUBSIDIES, ECONOMIC ANALYSIS, ECONOMIC GROWTH, ECONOMIC SECTORS, ECONOMIC WELFARE, ELASTICITIES, ELASTICITY, EMPIRICAL ANALYSIS, EMPLOYMENT, EQUIVALENT VARIATION, EXPORT PRICE, EXPORT PRICES, EXPORT SUBSIDIES, EXPORT TAXES, EXTREME POVERTY, FARM HOUSEHOLDS, FARMS, FOOD EXPORTS, FOOD INDUSTRY, FREE ACCESS, FULL EMPLOYMENT, FULL LIBERALIZATION, GDP, GENERALIZED SYSTEM OF PREFERENCES, GLOBAL COMPUTABLE GENERAL EQUILIBRIUM, GLOBAL EXPORTS, GLOBAL FREE TRADE, GLOBAL TRADE, GLOBAL TRADE ANALYSIS, HEADCOUNT INDEX, HIGH TARIFFS, HOUSEHOLD SURVEY, HOUSEHOLD SURVEYS, IMPORT BARRIERS, IMPORT INCREASES, IMPORT PRICES, IMPORT TARIFF, IMPORT TARIFFS, INCOME, INCOME COUNTRIES, INCOME HOUSEHOLDS, INCREASED ACCESS, INDIVIDUAL COUNTRIES, INTERMEDIATE GOODS, INTERNATIONAL MARKETS, INTERNATIONAL PRICES, INTERNATIONAL TERMS, ITC, LORENZ CURVE, MARKET ACCESS, MARKET POWER, MULTILATERAL NEGOTIATIONS, MULTILATERAL TRADE, MULTILATERAL TRADE NEGOTIATIONS, MULTILATERAL TRADE REFORM, NET EXPORTER, NET EXPORTERS, NON-TARIFF BARRIERS, PATTERN OF TRADE, PERFECT COMPETITION, POLICY ANALYSIS, POLICY CHANGES, POLICY IMPLICATIONS, POLICY RESEARCH, POOR LIVING, POVERTY ALLEVIATION, PRICE CHANGES, PRICE INDEX, PRODUCERS, PRODUCT DIFFERENTIATION, PRODUCT MARKETS, PRODUCTION TECHNOLOGY, PRODUCTIVITY, PROTECTION DATA, PROTECTION POLICIES, PROTECTION RATES, QUOTAS, REAL EXCHANGE RATE, REAL INCOME, RESEARCH INSTITUTIONS, RULES OF ORIGIN, SAVINGS, SUB-SAHARAN AFRICA, TARIFF BARRIERS, TARIFF PREFERENCES, TARIFF RATE, TARIFF REFORM, TARIFF REVENUES, TAXATION, TECHNOLOGICAL PROGRESS, TERMS OF TRADE, TERMS OF TRADE LOSS, TRADE BALANCE, TRADE BARRIERS, TRADE DATA, TRADE EFFECT, TRADE FACILITATION, TRADE FLOWS, TRADE LIBERALIZATION, TRADE LOSSES, TRADE MODELS, TRADE NEGOTIATIONS, TRADE PATTERNS, TRADE POLICIES, TRADE POLICY, TRADE PREFERENCE ARRANGEMENTS, TRADE PREFERENCES, TRADE REFORMS, UNEMPLOYMENT, UNSKILLED LABOR, UNSKILLED WORKERS, URUGUAY ROUND, VALUE ADDED, WAGES, WELFARE GAINS, WELFARE IMPACTS, WORLD TRADE, WORLD TRADE ORGANIZATION, WTO,
Online Access:	http://documents.worldbank.org/curated/en/2005/06/5877128/would-multilateral-trade-reform-benefit-sub-saharan-africans https://hdl.handle.net/10986/8174
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