Agricultural Distortions in Sub-Saharan Africa: Trade and Welfare Indicators, 1961 to 2004

40 Pages Posted: 20 Apr 2016

See all articles by Johanna L. Croser

Johanna L. Croser

University of Adelaide

Kym Anderson

University of Adelaide - Centre for International Economic Studies (CIES); Centre for Economic Policy Research (CEPR); Australian National University

Multiple version iconThere are 2 versions of this paper

Date Written: June 1, 2010

Abstract

For decades, agricultural price and trade policies in Sub-Saharan Africa have hampered farmers? contributions to economic growth and poverty reduction. Although there has been much policy reform over the past two decades, the injections of agricultural development funding, together with ongoing regional and global trade negotiations, have brought distortionary policies under the spotlight once again. A key question asked of those policies is: How much are they still reducing national economic welfare and trade? Economy-wide models are able to address that question, but they are not available for many poor countries. Even where they are, typically they apply to just one particular previous year and so are unable to provide trends in effects over time. This paper provides a partial-equilibrium alternative to economy-wide modeling, by drawing on a modification of so-called trade restrictiveness indexes to provide theoretically precise indicators of the trade and welfare effects of agricultural policy distortions to producer and consumer prices over the past half-century. The authors generate time series of country level indexes, as well as Africa-wide aggregates. They also provide annual commodity market indexes for the region, and a sense of the relative importance of the key policy instruments used.

Keywords: Economic Theory & Research, Markets and Market Access, Emerging Markets, Trade Policy, Free Trade

Suggested Citation

Croser, Johanna L. and Anderson, Kym, Agricultural Distortions in Sub-Saharan Africa: Trade and Welfare Indicators, 1961 to 2004 (June 1, 2010). World Bank Policy Research Working Paper No. 5344, Available at SSRN: https://ssrn.com/abstract=1629629

Johanna L. Croser (Contact Author)

University of Adelaide ( email )

No 233 North Terrace, School of Commerce
Adelaide, South Australia 5005
Australia

Kym Anderson

University of Adelaide - Centre for International Economic Studies (CIES) ( email )

School of Economics
Adelaide SA 5005
Australia
+61 8 8313 4712 (Phone)
+61 8 8223 1460 (Fax)

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Australian National University ( email )

Arndt-Corden Dept of Economics
Coombs Building
Canberra, AK ACT 2600
Australia
+61 8 8313 4712 (Phone)

HOME PAGE: http://publicpolicy.anu.edu.au/crawford_people/content/staff/acde/kanderson.php

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