Trade Liberalization And Consumption In Panama: An Empirical Analysis
Open Access
Author:
Kreitz, Cailyn Marie
Area of Honors:
Economics
Degree:
Bachelor of Science
Document Type:
Thesis
Thesis Supervisors:
James R. Tybout, Thesis Supervisor Dr. Russell Paul Chuderewicz, Thesis Honors Advisor
Keywords:
Panama trade liberalization tariff reduction WTO poverty
Abstract:
In this thesis, I aim to explore the relationship between trade liberalization and poverty in Panama. I do this by examining the relationship between tariff reductions on major agricultural goods produced in Panama and food consumption. I begin with an analysis of the specific factors model, and how it relates to the situation in Panama. I hypothesize that a decrease in the weighted average tariff rate on major agricultural goods, as took place in Panama over the time periods examined, will contribute to an increase in food consumption. I continue by employing a statistical analysis. I use data from the Living Standards Measurement Survey (LSMS), conducted in Panama in 1997, 2003, and 2008, in order to conduct this analysis. I also use data on tariff rates from the World Trade Organization and on agricultural production from the Food and Agriculture Organization of the United Nations Statistics Division.
