Team Details:
| MUHAMMAD ZESHAN Research Fellow Pakistan Institute of Development Economics (PIDE), Islamabad (PI) |
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| HADIA RAFIQUE Researcher PMAS-Arid Agriculture University, Rawalpindi (Research Associate) |
Theme/Relevant Ministry:
PUBLIC SECTOR MANAGEMENT:
Board of Investment
Project Brief:
In the absence of a general equilibrium framework, the sectorial costs of the sludge economy might be underestimated because they would ignore the multiplayer effects of sectoral interdependencies. Hence, a CGE framework is a prerequisite to simulate an unbiased environment of the real cost of sludge in Pakistan. Besides, sludge adversely affects the overall welfare level in the country, but there is no study to quantify this channel. Hence, the present study has multiple objectives. First, it aims to develop a dynamic CGE framework for the sludge economy of Pakistan. Second, it will examine the overall impact of sludge by examining the inter-sectorial linkages. Third, it plans to quantify the impact of sludge on the domestic commerce, international trade, and investment. Finally, it will examine how all these channels translate into the overall welfare level.
Public Policy Relevance:
This study promises significant public policy relevance by providing empirical evidence to guide reforms aimed at alleviating Pakistan’s sludge economy. The CGE model results will strengthen the analytical foundations for policymaking in this area in three key respects: Quantifying the Economic Costs of Status Quo, Informing Priority-Setting for Reforms and Validating Reform Pilots and Scaling.