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Trade Reform and Macroeconomic Policy in Vietnam

Tyers, Rod; Rees, Lucy


The Asian crisis and the more recent global economic slowdown changed Vietnam's terms of trade adversely. Results from a global macro-model confirm that the consequences were a rural contraction exacerbated by deflation and consequent slower overall employment and GDP growth. Further simulations show that a unilateral trade policy reform could return the economy to its growth benchmark even while export demand remains slack. Although the short run gains from trade reform are directionally...[Show more]

CollectionsANU Research Publications
Type: Working/Technical Paper
Source: Trade Reform and Macroeconomic Policy in Vietnam


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