Adjustment and income distribution in an agricultural economy: A general equilibrium analysis of Cameroon

To distinguish policy packages that have favorable characteristics for both structural adjustment and income distribution, this paper uses static and dynamically optimizing simulations of a Computable General Equilibrium model based on detailed country and household data from Cameroon. Model results indicate that public spending to reduce transport and marketing costs are beneficial for the poor and for economic growth, even at the expense of competing public investments.