Some Consequences of the 1994–1995 Coffee Boom for Growth and Poverty Reduction in Uganda |
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| Authors: | Lindsay Chant Scott McDonald Arjan Verschoor |
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| Institution: | Arjan Verschoor is a lecturer in economics at the School of Development Studies University of East Anglia, Norwich NR4 7TJ. E‐mail: for correspondence. Lindsay Chant is a research student at the University of Sussex and Scott McDonald is professor of economics at Oxford Brookes University. The preliminary research for this study was supported by funds from a Department for International Development Project – Poverty Monitoring and Pro‐Poor Growth. An early report of this study was presented at the Annual Conference on Global Economic Analysis, Washington, 2004. The paper has been greatly improved by comments received from participants at that conference and from the editor and two anonymous referees for this journal. The authors remain solely responsible for any errors or omissions. |
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| Abstract: | This paper reports a computable general equilibrium analysis that explores the consequences of the 1994–1995 increase in the international price of coffee for Uganda's economy. Evidence is found for a small effect on both medium‐term growth and poverty reduction. Aid dependence is among the reasons why this effect is not found to be larger. Major beneficiary groups are not primarily the farmers to which the windfall initially accrued, but urban wage earners and the urban self‐employed. |
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| Keywords: | Aid dependence coffee commodity dependence computable general equilibrium Dutch disease Structural Adjustment Programme Uganda |
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