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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Export Demand and Botswana's Beef Industry: A Computable General Equilibrium Approach
Author:Tyler, Godfrey J.
Periodical:African Development Review
Geographic term:Botswana
Economics and Trade
Agriculture, Natural Resources and the Environment
External link:https://doi.org/10.1111/j.1467-8268.1996.tb00089.x
Abstract:A 15-sector Computable General Equilibrium (CGE) model of the Botswana economy was used in an earlier publication (Tyler, 1996) in order to assess the contribution of wildlife and wildlife-based tourism to the macroeconomy and to the incomes of rural households. It was based on the most recent (1992/1993) Social Accounting Matrix of the Botswana economy. The present paper reports the results from using the model to simulate the effects of decreases of 20 percent and 48 percent in the world price of beef. As might be expected, the effects are almost entirely adverse and in some cases catastrophic. A decrease in 48 percent in the world price of beef results in a 86 percent decline in exports and a 21 percent decline in output. Output decline is very much less than export decline because a large percentage of output is used for domestic consumption. Total employment in the 'informal' category of labour decreases by 7.8 percent. App., bibliogr., sum. in English and French.