Leveraging Fuel Subsidy Reform for Transition in Yemen

dc.creatorBreisinger, Clemens
dc.creatorEngelke, Wilfried
dc.creatorEcker, Olivier
dc.date2015-12-01T22:51:01Z
dc.date2015-12-01T22:51:01Z
dc.date2012-10-30
dc.date.accessioned2026-07-01T00:57:33Z
dc.descriptionYemen is currently undergoing a major political transition, yet many economic challenges—including fuel subsidy reform—remain highly relevant. To inform the transition process with respect to a potential subsidy reform, we use a dynamic computable general equilibrium and microsimulation model for Yemen; we show that overall growth effects of subsidy reduction are positive in general, but poverty can increase or decrease depending on reform design. A promising strategy for a successful reform combines fuel subsidy reduction with direct income transfers to the poorest one-third of households during reform, and productivity-enhancing investment in infrastructure, plus fiscal consolidation. Public investments should be used for integrating economic spaces and restructuring of agricultural, industrial and service value chains in order to create a framework that encourages private-sector-led and job-creating growth.
dc.formatapplication/pdf
dc.identifierSustainability
dc.identifierhttps://hdl.handle.net/10986/23184
dc.identifierhttps://doi.org/10.1596/23184
dc.identifier.urihttp://hdl.handle.net/123456789/413510
dc.languageen_US
dc.publisherMDPI
dc.rightsCC BY 3.0 IGO
dc.rightshttp://creativecommons.org/licenses/by/3.0/igo
dc.rightsWorld Bank
dc.subjectfuel subsidy reform
dc.subjectpoverty
dc.titleLeveraging Fuel Subsidy Reform for Transition in Yemen
dc.typeJournal Article
dc.typeArticle de journal
dc.typeArtículo de revista

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