Doubling fish exports or garment exports: which would benefit the Fijian economy most? Evidence from a computable general equilibrium model

Paresh Narayan () and Biman Prasad ()

Applied Economics, 2006, vol. 38, issue 6, 717-723

Abstract: The need to diversify Fiji's export base has been identified as an important avenue for reducing Fiji's vulnerabilities in international trade. This paper poses the question: Doubling fish exports or garment exports: which would be most beneficial for the Fijian economy? To achieve the goal of this paper, the computable general equilibrium model is used, this being at the forefront of research on 'impact studies'. The main finding is that when garment exports and fish exports are doubled, the benefits to the Fijian economy are greater from garment exports, suggesting that the latter has stronger linkages with the rest of the economy. On the basis of this finding, policymakers should divert resources towards sustaining the garment industry whose future is uncertain due to expiring trade agreements and unstable economic policies.

Date: 2006
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DOI: 10.1080/00036840500396731

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