Dorosh, Paul A.
Evaluating Alternative Approaches to Poverty Alleviation : Rice Tariffs versus Targeted Transfers in Madagascar. - 1 online resource (30 pages) - IMF Working Papers . - IMF Working Papers .
Intro -- Contents -- I. Introduction -- II. A Partial Equilibrium Model -- A. The Model -- B. Rice Tariff Reform -- C. Targeted Transfers -- D. Welfare Weights -- III. The Welfare Impact of Tariffs and Transfers -- A. Lowering Rice Tariffs -- B. Targeted Transfers -- C. Tariffs, Transfers, or Both? -- IV. From Partial to General Equilibrium Analysis -- V. Summary and Conclusions -- Tables -- 1. Distribution of Welfare Impact from Tariff Increase Across Households -- 2. Marginal Cost of Public Funds for Different Import Elasticities -- 3. Welfare Impact of Lower Rice Tariff -- 4. Welfare Impact of Proxy-Means Targeted Transfers -- Figures -- 1. Cumulative Densities of Per Capita Consumption -- 2a. Net Sellers/Buyers by Welfare Group, Urban -- 2b. Net Sellers/Buyers by Welfare Group, Rural -- 3a. Net Purchases by Welfare Group: Urban -- 3b. Net Purchases by Welfare Group: Rural -- 4a. Welfare Impact of Rice Price Decrease: Urban -- 4b. Welfare Impact of Rice Price Decrease, Rural -- 5. Undercoverage and Leakage, Urban and Rural -- 6. Welfare Impact of Tariff Reductions and Targeted Transfers -- Appendix -- I. The Madagascar EPM Household Survey -- Appendix Table -- 5. Mean Per Capita Consumption and Welfare Weights -- References.
This paper uses a partial equilibrium framework to evaluate the relative efficiency, distributional and revenue implications of rice tariffs and targeted transfers in Madagascar, especially in the context of identifying their respective roles for poverty alleviation. Although there are likely to be substantial efficiency gains from tariff reductions, these accrue mainly to higher income households. In addition, poor net rice sellers will lose from lower tariffs. Developing a system of well designed and implemented targeted direct transfers to poor households is thus likely to be a substantially more costeffective approach to poverty alleviation. Such an approach should be financed by switching revenue raising from rice tariffs to more efficient tax instruments. These policy conclusions are likely to be robust to the incorporation of general equilibrium considerations.
9781451913248
Madagascar -- Economic conditions -- Econometric models.
Madagascar -- Economic policy -- Econometric models.
Poverty -- Madagascar -- Econometric models.
Rice trade -- Madagascar -- Econometric models.
Tariff on farm produce -- Madagascar -- Econometric models.
Electronic books.
HD9066.M282 -- C63 2008eb
330.9
Evaluating Alternative Approaches to Poverty Alleviation : Rice Tariffs versus Targeted Transfers in Madagascar. - 1 online resource (30 pages) - IMF Working Papers . - IMF Working Papers .
Intro -- Contents -- I. Introduction -- II. A Partial Equilibrium Model -- A. The Model -- B. Rice Tariff Reform -- C. Targeted Transfers -- D. Welfare Weights -- III. The Welfare Impact of Tariffs and Transfers -- A. Lowering Rice Tariffs -- B. Targeted Transfers -- C. Tariffs, Transfers, or Both? -- IV. From Partial to General Equilibrium Analysis -- V. Summary and Conclusions -- Tables -- 1. Distribution of Welfare Impact from Tariff Increase Across Households -- 2. Marginal Cost of Public Funds for Different Import Elasticities -- 3. Welfare Impact of Lower Rice Tariff -- 4. Welfare Impact of Proxy-Means Targeted Transfers -- Figures -- 1. Cumulative Densities of Per Capita Consumption -- 2a. Net Sellers/Buyers by Welfare Group, Urban -- 2b. Net Sellers/Buyers by Welfare Group, Rural -- 3a. Net Purchases by Welfare Group: Urban -- 3b. Net Purchases by Welfare Group: Rural -- 4a. Welfare Impact of Rice Price Decrease: Urban -- 4b. Welfare Impact of Rice Price Decrease, Rural -- 5. Undercoverage and Leakage, Urban and Rural -- 6. Welfare Impact of Tariff Reductions and Targeted Transfers -- Appendix -- I. The Madagascar EPM Household Survey -- Appendix Table -- 5. Mean Per Capita Consumption and Welfare Weights -- References.
This paper uses a partial equilibrium framework to evaluate the relative efficiency, distributional and revenue implications of rice tariffs and targeted transfers in Madagascar, especially in the context of identifying their respective roles for poverty alleviation. Although there are likely to be substantial efficiency gains from tariff reductions, these accrue mainly to higher income households. In addition, poor net rice sellers will lose from lower tariffs. Developing a system of well designed and implemented targeted direct transfers to poor households is thus likely to be a substantially more costeffective approach to poverty alleviation. Such an approach should be financed by switching revenue raising from rice tariffs to more efficient tax instruments. These policy conclusions are likely to be robust to the incorporation of general equilibrium considerations.
9781451913248
Madagascar -- Economic conditions -- Econometric models.
Madagascar -- Economic policy -- Econometric models.
Poverty -- Madagascar -- Econometric models.
Rice trade -- Madagascar -- Econometric models.
Tariff on farm produce -- Madagascar -- Econometric models.
Electronic books.
HD9066.M282 -- C63 2008eb
330.9