Journal article
Building a better trade model to determine local effects: A regional and intertemporal GTAP model
P Van Ha, T Kompas, HTM Nguyen, CH Long
Economic Modelling | ELSEVIER | Published : 2017
Abstract
Intertemporal CGE models allow agents to respond fully to current and future policy shocks. This property is particularly important for trade policies, where tariff reductions span over decades. Nevertheless, intertemporal CGE models are dimensionally large and computationally difficult to solve, thus hindering their development, save for those that are scaled-down to only a few regions and commodities. Using a recently developed solution method, we address this problem by building an intertemporal version of a GTAP model that is large in dimension and can be easily scaled to focus to any subset of GTAP countries or regions, without the need for 'second best’ recursive approaches. Specifical..
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Funding Acknowledgements
The computations in this paper have been carried out with the help of Portable, Extensible Toolkit for Scientific Computation (PETSc) 3.6.2 at Argonne National Laboratory (Balay et al., 1997, 2014, 2013); Message Passing Interface (MPICH) 3.1.4; HSL Mathematical Software Library (HSL, 2013); and the GNU Compiler Collection (GCC) 5.2.1. We would like to thank the developers of this software for making their work available. We also gratefully acknowledge support from the 'Restructuring for a More Competitive Vietnam Project' and the College of Asia and the Pacific at the Australian National University. This paper was presented at the ISCEF 2016 conference in Paris, with special thanks for very helpful comments received on the paper.