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Distributional and economy-wide effects of post-conflict agricultural policy in Colombia


 We assessed the economic effects of the agricultural policy that is proposed as part of the 2016 peace accord in Colombia. We used a newly built social accounting matrix for Colombia to calibrate a computable general equilibrium model. We found that the value added, demand for labour and factor incomes increased in the areas most affected by the conflict, while the opposite occurred in the other areas. In general, distributional effects between urban and rural areas are strongly conditional on the financing mechanism adopted by the government.