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    Agricultural Trade and Structural Change: The Case of Paraguay

    Blanco, Cesar | March 2017
    Abstract
    We study the effect of agricultural trade on structural change. For this purpose, we calibrate a three-sector general equilibrium model to quantify the role of trade in explaining the structural change pattern of Paraguay. This country experienced a significant rise in net agricultural exports as a percentage of aggregate output during the period 1962–2012. We find the following results. First, international trade is crucial to explaining the composition of employment in this country. The model including trade explains 84.7% of the changes in employment shares during this period, while the model without trade can only account for 36.1% of the changes. Second, employment in agriculture remains large in order to satisfy foreign demand, even as the expenditure share of consumption in this sector declines. Third, in the long run employment shifts directly from agriculture into services, bypassing manufacturing.
    Citation
    Blanco, Cesar. 2017. Agricultural Trade and Structural Change: The Case of Paraguay. © Asian Development Bank Institute. http://hdl.handle.net/11540/7709.
    Keywords
    Agricultural trade
    Agricultural investment
    Agricultural economy
    Agricultural products
    Import volume
    Export volume
    Tariff negotiations
    Regional integration
    Trade regulations
    Agricultural market
    Agricultural economy
    Agriculture
    Agricultural Trade
    Trade
    Trade Barriers
    Trade Facilitation
    Sustainable agriculture
    Commercial agriculture
    Trade Negotiations
    Trade Development
    Trade And Development
    Regional TradAgreements
    Agricultural Trade
    Agriculture Trade Liberalization
    Food
    Agricultural resource
    Farm produce
    Natural products in agriculture
    Plant products industry
    New agricultural enterprises
    Agricultural industry
    Foreign trade and employment
    Perishable goods
    Consumer goods
    Agricultural products
    Agricultural industry
    Food industry
    Food Safety
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    Citable URI
    http://hdl.handle.net/11540/7709
    Metadata
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    adbi-wp701.pdf (364.8Kb)
    Author
    Blanco, Cesar
    Theme
    Agriculture
    Trade
     
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise