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A Poverty and Inequality Impact Assessment of Liberalization of Water Utility in Senegal: A Macro-Micro Analysis

Dorothee Boccanfuso, Antonio Estache and Luc Savard

Cahiers de recherche from Departement d'économique de l'École de gestion à l'Université de Sherbrooke

Abstract: Many argued that water accessibility to the poor has been improved with the privatization of water utilities and that privatization on the whole has been beneficial to the poor households. In this paper, we used a multi-household integrated CGE model to analyze the impact of the privatization of the water utilities in Senegal on poverty and inequality and we also present a distributional analysis of water distribution before and after privatization to verify is the privatization process has been pro-poor. We simulate OPEX and CAPEX strategies and analyze how they affect government finances and other key macro and sectoral variables and attempt to measure the impact on poverty and inequality of different groups of households. The simulated price increases for the utility sector, have marginal effects on government finances and positive effects on most groups and negative effects on others agents.

Keywords: computable general equilibrium model; micro-simulation; poverty analysis; income distribution; privatization; water utilities (search for similar items in EconPapers)
JEL-codes: D31 D58 I32 L33 L93 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2005
New Economics Papers: this item is included in nep-afr
References: Add references at CitEc
Citations: View citations in EconPapers (7)

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http://gredi.recherche.usherbrooke.ca/wpapers/GREDI-0513.pdf First version, 2005 (application/pdf)

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Persistent link: https://EconPapers.repec.org/RePEc:shr:wpaper:05-13

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