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4.5
Employment, by industry group and gender
Source:
Cambodian authorities and team estimates.
Framework
for the impact on poverty analysis of different policies
It
is assumed a model where the household is the unit of analysis. Total net
household income (savings) is defined as the sum of total income minus the
sum of total expenditures. Each household has different endowments (for
example, land of different qualities, number of skilled and unskilled
laboers) that generate income (for example, from agriculture, from labor)
and different expenditures patterns (for example, allocation of
expenditures to food and non food items). The general formulation is;
where
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Amount of rice of quality m produced by the household
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Selling price of rice of quality m produced by the household (gross price).
For internationally tradable varieties, this price is the
border price.
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ad valorem tax on good
zof the wsector. Alternatively,
is the tax equivalent of a distortion that affects good z
of sector w.
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Outputi(other that rice) produced by the household (for example cattle,
handicrafts, services)
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Selling
price of output i
produced by the household (gross price). For an internationally
tradable output, this price is the border price.
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Amount
of input jused by the household to produce goods o (for example, fertilizers, land rented, hired labor, hired
animals).
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Before
tax (or before a tax equivalent domestic distortion) price of
input j
used by the household to produce goods o.
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Amount of skilled labor sold by the
kth member of the household
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Before tax (or before a tax equivalent transaction cost or domestic
distortion) wage of skilled labor supplied by the household. |
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Amount of un-skilled labor sold by the
lth member of the household |
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Before tax (or before a tax equivalent transaction cost or domestic
distortion) wage of unskilled labor supplied by the household. |
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Amount of rice of quality
m
demanded by the household (including rice produced by the
household and not sold in the market) |
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Buying price of rice of quality
m
demanded by the household (gross price) |
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Import tariff on rice imports |
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Amount of non-rice food
ndemanded by the household |
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Buying
price of non-rice food n demanded by the household (gross price) |
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Import
tariff on non-rice food n |
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Amount
of non-food good o demanded by the household |
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Buying
price of non-food good o demanded by the household (gross price) |
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Import
tariff on non-food good o |
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Transfer
received by household member p
from source q
(q
could be public or private). |
In addition, the
value of paddy rice output can be expressed as a function of the value of
milled rice, as:
where,
 denotes
the per cent of post-harvested losses due to improper handling, lack of
storage facilities, rodents, etc., assumed to be currently about 10 per
cent;
denotes
milling transformation costs; and
is
the milling yield of paddy-to-rice, assumed to be 0.62 on average (with
some regional variation), by the MAFF.
We
can consider all quantities in Eq.1 as fixed in the short run and simulate
what the impact of a change in prices, taxes and/or transaction cost may
be. The formulation would be:
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