Trade Policies and Poverty in Uganda: Computable General Equilibrium Micro Simulation Analysis

Abstract

This paper uses a Computable General Equilibrium (CGE) framework and benchmark data from Uganda national household survey to estimate
the impact of trade liberalisation on poverty in Uganda. Three simulations are performed: removal of EAC tariffs, removal of non-EAC COMESA
tariffs and removal of all tariffs. Our results indicate that poverty falls in all cases, but poverty falls much more in the case of a complete removal
of tariffs on all imports (2.94%), compared with the case of removal of EAC tariffs (2.76%) or non-EAC COMESA tariffs (1.08%).

IPRAA WORKING PAPER 78

JEL Classification: C68, D78, F13, F14, F15, F17.
Key words: Computable General Equilibrium Models, Micro-Simulation Analysis, Trade Policies, Poverty, Uganda.

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