Abstract:
An integrated sequential dynamic computable general equilibrium model is used to study the potential poverty and inequality effects of a complete tariff removal in Senegal. The model is calibrated with a 1996 social accounting matrix and a 1995 survey of 3278 households. The outcomes indicate small short run negative impacts in terms of welfare and poverty. In the long run, growth effects captured by the model bring an expansion of the industrial and services sectors and substantial poverty decreases. However, the decomposition of the results shows that the contribution of the redistribution component to poverty alleviation is negative.