02066cas a2200253 a 4500 AALejournalIMF013557 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484367735 1018-5941 BD-DhAAL BD-DhAAL Jouini, Nizar. The Welfare Implications of Services Liberalization in a Developing Country : Evidence from Tunisia / Nizar Jouini, Nooman Rebei. Washington, D.C. : International Monetary Fund, 2013. 1 online resource (43 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students We propose an integrated method based on a two-sector small open economy dynamic and stochastic general equilibrium model to estimate non-tariff barriers and quantify the impact of services liberalization. The major component of trade barriers is explicitly modeled through the introduction of entry-sunk costs. Hence, liberalization is treated assuming a government's policy decision aimed at reducing those costs. Then, we estimate the model using Bayesian techniques for Tunisia and the Euro Area. The paper presents a precise quantitative evaluation of services trade barriers as the difference between entry-sunk costs in Tunisia versus the Euro Area. We find significant welfare benefits in addition to aggregate and sectoral growth gains the Tunisian economy could attain following services liberalization. Surprisingly, the goods sector is the one that benefits the most from services liberalization in the short- and long-term horizons. Mode of access: Internet Rebei, Nooman. IMF Working Papers; Working Paper ; No. 2013/110 Full text available on IMF http://elibrary.imf.org/view/journals/001/2013/110/001.2013.issue-110-en.xml IMF e-Library