The 1990 Trade Liberalisation Policy of Turkey: An Applied General Equilibrium Assessment

Roberto De Santis ()

International Economic Journal, 2001, vol. 15, issue 2, 115-132

Abstract: I use a static multi-sector, multi-labour, multi-household Applied General Equilibrium (AGE) model for Turkey to show that the trade policy implemented by Turkish policy-makers in the 1990s is not trade diverting. Aggregate welfare rises by 0.6% of the consumer income. Most importantly, since agriculture and traditional the rural income), while urban groups are worse off (-0.5% of the urban income). It is also shown that overall income inequality declines by 1.1-1.7%, and that its main source is the inter-income inequality between urban and rural areas, which decreases by 8.9- 14.7%. [D58, F14, F17]

Date: 2001
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DOI: 10.1080/10168730100000040

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