Towards an Explicit Modeling of Trade Facilitation in CGE Models: Evidence from Egypt

Chahir Zaki

No 331897, Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project

Abstract: This paper develops a dynamic computable general equilibrium (CGE) model incorporating Trade Facilitation aspects in Egypt. This paper’s contributions are twofold: theoretical and empirical ones. First, this paper estimates ad valorem tariff equivalents for time of imports and documents for exports which are then introduced in a CGE model. Thus, the second contribution of the paper is the direct modeling of such barriers in a dynamic CGE model applied on the Egyptian economy. I modify the Exter model in order to take into account Trade Facilitation facets in an explicit way. The model is calibrated on the Egyptian social accounting matrix of 2000/2001. My main findings show that, when Trade Facilitation is simulated precisely, i.e. by taking into account its cost as well as the tariff equivalents of its aspects, the impact of such a process is reduced. Meanwhile, its impact remains higher than trade liberalization. Moreover, some sectors witness a significant expansion more than others, especially processed food, garments and textiles.

Keywords: International Relations/Trade; Research Methods/Statistical Methods (search for similar items in EconPapers)
Pages: 67
Date: 2009
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https://ageconsearch.umn.edu/record/331897/files/4438.pdf (application/pdf)

Related works:
Working Paper: Towards an Explicit Modeling of Trade Facilitation in CGE Models: Evidence from Egypt (2010)
Working Paper: Towards an explicit modeling of trade facilitation in CGE models: evidence from Egypt (2010)
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Persistent link: https://EconPapers.repec.org/RePEc:ags:pugtwp:331897

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