Modeling Services Liberalization: The Case of Kenya

Edward Balistreri, Thomas F. Rutherford and David Tarr

No 331579, Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project

Abstract: In this paper we employ a 50 sector small open economy computable general equilibrium model of the Kenyan economy to assess the impact of the liberalization of regulatory barriers against foreign and domestic business service providers in Kenya. The model incorporates productivity effects in both goods and services markets endogenously, through a Dixit-Stiglitz framework. The ad valorem equivalent of barriers to foreign direct investment have been estimated based on detailed questionnaires completed by specialists in Kenya. We estimate that Kenya will gain about 9.3% of the value of Kenyan consumption in the medium run (or 8.8% of GDP) from a full reform package that also includes uniform tariffs. The gains increase to 12.1% of consumption in the long run steady state model. Decomposition exercises reveal that the largest gains to Kenya will derive from liberalization of regulatory barriers against its domestic service providers.

Keywords: Research Methods/Statistical Methods; Productivity Analysis (search for similar items in EconPapers)
Pages: 42
Date: 2007
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/331579/files/3313.pdf (application/pdf)

Related works:
Journal Article: Modeling services liberalization: The case of Kenya (2009)
Working Paper: Modeling services liberalization: the case of Kenya (2008)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:pugtwp:331579

Access Statistics for this paper

More papers in Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().