TY - JOUR
T1 - The Transboundary Impacts of Trade Liberalization and Climate Change on the Nile Basin Economies and Water Resource Availability
AU - Kahsay, Tewodros Negash
AU - Kuik, Onno
AU - Brouwer, Roy
AU - van der Zaag, Pieter
PY - 2018/2/1
Y1 - 2018/2/1
N2 - A multi-country, multi-sector computable general equilibrium (CGE) model is used for the first time to evaluate the economic and water resource availability effects of trade liberalization (removal of import tariffs) and facilitation (reducing non-tariff barriers) under climate change in the Nile Basin. The analysis uses the GTAP 9 Database and the GTAP-W model that distinguishes between rainfed and irrigated agriculture and implements water as a factor of production directly substitutable in the production process of irrigated agriculture. A full trade liberalization and improved trade facilitation scenario is considered with and without climate change. The study reveals that trade liberalization and facilitation generates substantial economic benefits and enhances economic growth and welfare in the Nile basin. The effect of instituting a free trade policy on water savings is found to be limited, while climate change improves water supply and hence irrigation water use, enhancing economic growth and welfare in the basin.
AB - A multi-country, multi-sector computable general equilibrium (CGE) model is used for the first time to evaluate the economic and water resource availability effects of trade liberalization (removal of import tariffs) and facilitation (reducing non-tariff barriers) under climate change in the Nile Basin. The analysis uses the GTAP 9 Database and the GTAP-W model that distinguishes between rainfed and irrigated agriculture and implements water as a factor of production directly substitutable in the production process of irrigated agriculture. A full trade liberalization and improved trade facilitation scenario is considered with and without climate change. The study reveals that trade liberalization and facilitation generates substantial economic benefits and enhances economic growth and welfare in the Nile basin. The effect of instituting a free trade policy on water savings is found to be limited, while climate change improves water supply and hence irrigation water use, enhancing economic growth and welfare in the basin.
KW - Climate change
KW - Computable general equilibrium model
KW - Nile River Basin
KW - Trade liberalization
UR - http://www.scopus.com/inward/record.url?scp=85032803572&partnerID=8YFLogxK
UR - http://resolver.tudelft.nl/uuid:dd8bcf84-aa97-45f1-b482-578353b89378
U2 - 10.1007/s11269-017-1847-7
DO - 10.1007/s11269-017-1847-7
M3 - Article
AN - SCOPUS:85032803572
VL - 32
SP - 935
EP - 947
JO - Water Resources Management
JF - Water Resources Management
SN - 0920-4741
IS - 3
ER -