Macroeconomic impacts of non-resource revenue mobilization in CEMAC

Giovanni Melina and Marcos Poplawski-Ribeiro

Applied Economics Letters, 2021, vol. 28, issue 9, 721-726

Abstract: This letter investigates main macroeconomic impacts of enhanced non-resource revenue mobilization in Africa’s CEMAC region. Model simulations indicate that non-oil revenue mobilization reduces debt and increases non-resource output in the long term. The mobilization, however, triggers an output decline in the short run and carries undesirable distributional effects. Cash transfers targeting the most vulnerable perform better than untargeted public investments to mitigate such increased inequality.

Date: 2021
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DOI: 10.1080/13504851.2020.1772456

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