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GTAP Resources: Resource Display

GTAP Resource #2970

"Towards Promotion of Export-Oriented Horticulture Production in Ethiopia: Policy Analysis using the New GTAP African Database"
by Woldie, Getachew Abebe and Khalid Siddig


Abstract
In this paper, using the new GTAP African database, we simulate the overall implication of 5 percent and 10 percent target subsidy on fruit and vegetables sector in Ethiopia. At macro level, the result reveals that the target subsidy leads to a decline in the overall trade balance. In terms of welfare, the intervention has been found to have positive impact for a 10 percent target subsidy and a slight decline for a 5 percent subsidy rate. The policy has also a positive impact on the Gross Domestic Product (GDP) both in terms of value and volume. However, the result reveals that prices particularly in the grains and other crops sector have increased following the policy. As grains and other crops take the lion’s share of the household budget in Ethiopia, export-promotion policies should be accompanied by some price stabilization policies in the other sector and consider the livelihood of the poor. The food security status of the poor should not be compromised.


Resource Details (Export Citation) GTAP Keywords
Category: GTAP Application
Status: Not published
By/In: Selected for presentation in the EcoMod International Conference on Policy Modeling, Ottawa, Canada
Date: 2009
Version: Preliminary
Created: Siddig, K. (3/21/2009)
Updated: Batta, G. (3/23/2009)
Visits: 1,669
- Domestic policy analysis
- Agricultural policies
- Economic development
- The GTAP Data Base and extensions
- Africa (North)
- Africa (East)


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