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Who Benefits from the Tariff Reforms?


Who benefits from the tariff reforms launched by the Philippine government from 1994-2000? On the basis of the results of his simulation runs, the author of this Policy Notes suggests that tariff reduction is generally pro-poor as shown by the drop in poverty incidence as a whole due to the increase in factor prices and decline in consumer prices. However, the simulation results also indicate that there is a bias in favor of factors employed in the manufacturing sector as industry expanded while agriculture contracted. More details are shown in this Policy Notes.

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