Globalization, Economic Growth and SMEs Business its Implication on Rural Poverty in Sindh By Using CGE Model

Muhammad Aslam Memon, Ali Hassan Halepoto, Zahid Hussain Kazi and Faiz M.Shaikh
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Muhammad Aslam Memon: Shah Abdul Latif University Khairpur-Mirs
Ali Hassan Halepoto: Shah Abdul Latif University Khairpur-Mirs
Zahid Hussain Kazi: IBA-University of Sindh-Jamshoro
Faiz M.Shaikh: SZABAC-Dokri-Larkana-Sindh-Pakistan

Romanian Statistical Review Supplement, 2014, vol. 62, issue 3, 60-66

Abstract: This research investigate the Globalization, Economic growth SMEs business growth and its impact on rural poverty in Sindh by Using CGE-Model. Data wee collected from five Districts of Rural Sindh i.e Jacobabad, Shikarpur, Kashmore, Larkana and Dadu. Data were analyzed by using Computable General Equilibrium Model(CGE). The Global trade analysis Purdue (GTAP) model is used to analyze the possible impact of Globalization on Small and Medium Enterprises sector on Rural poverty, a multi-country, multi-sector applied General Equilibrium frame work. After employing the simplified static analysis framework based on simulations reveal that Globalization has positive impact on decreasing poverty and increasing SMEs business growth opportunities in Rural Sindh. The general inflation rate is decreased and living standard is increased in urban areas. Employment opportunities are also increasing due to the investment made by the FDI and as for as cultural context is concerned, Pakistani people are more reluctant to reduce the traditional cultural barriers. This perspective enables us to identify new challenges in the global economy and to identify the multiple routes through which power and resource inequalities are reproduced within it. More positively, it helps to identify new opportunities and routes to challenging these inequalities. The application of this perspective to the impact of the rapidly-growing economy in real increase in terms of trade.

Keywords: CGE Model; economy; Globalization; Pakistan (search for similar items in EconPapers)
Date: 2014
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