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Abstract

The analysis of the impact of global trends and the COVID-19 crisis on LDC economies individually and as a group requires a global database and country-specific details on income generation, distribution and consumption and factor employment. This paper aims at providing scenario analysis for LDCs by expanding the GTAP global databases with LDC country-specific data on household, government, firms and labor demand as well as adapting the MyGTAP modelling framework for a richer account of the impact of global and country-specific shocks on the income generation and distribution of LDCs. The dataset includes household and labor breakdowns from GTAP, IFPRI and ILO data. The labour market adjustment is enhanced by introducing a wage curve that allows the wages and employment determination to affect the generation and distribution of incomes across households and firms.

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