Some Consequences of the 1994-1995 Coffee Boom for Growth and Poverty Reduction in Uganda

This paper reports a computable general equilibrium analysis that explores the consequences of the 1994-1995 increase in the international price of coffee for Uganda's economy. Evidence is found for a small effect on both medium-term growth and poverty reduction. Aid dependence is among the reasons why this effect is not found to be larger. Major beneficiary groups are not primarily the farmers to which the windfall initially accrued, but urban wage earners and the urban self-employed. Copyright 2007 The Authors. Journal compilation 2007 The Agricultural Economics Society.