Search results for "Computable general equilibrium model"
showing 9 items of 9 documents
Can stability of foreign aid agreement reduce global income inequality?
2017
Abstract Global initiatives on debt relief call for increasing foreign aid assistance to alleviate income inequality. But the potential gains from foreign aid policy coordination may be limited by the willing participation of diverse and self-interested donor countries. If stability of the foreign aid agreement does not occur, then aid effectiveness fails. Thus, the aim of this paper is to investigate the effects of the stability of foreign aid agreement on income redistribution amongst countries. The findings show that stability has positive effects on income mobility from the rich to the poorest countries reducing global income inequality.
A global perspective on effectiveness of aid for trade
2013
Recent global initiatives on debt relief and development assistance call for increasing aid for trade to the poorest countries. The paper applies a multi-country computable general equilibrium model to measure the effectiveness of alternative aid for trade categories. The findings show that aid for trade policies expand trade and alleviate international income inequalities in the recipient countries, that will benefit mainly from aid for trade adjustment and technical assistance.
An Assessment of Carousel Value-Added Tax Fraud in The European Carbon Market
2017
AbstractThe literature on the European Union Emission Trading System (EU ETS) is by now very rich. Much is known about the efficiency, the effectiveness, and the environmental and distributional impacts of the EU ETS. Less, however, is known about the carousel value-added-tax (VAT) fraud phenomena in the European carbon market. This article evaluates the welfare effects of carousel VAT fraud in the EU ETS using a computable general equilibrium (CGE) analysis. According to our findings, if VAT fraud occurs in the EU ETS, the effects on welfare for the EU Member States are negative, with welfare loss significantly higher than the VAT fraud value. This article also discusses the reverse charge…
A general equilibrium analysis of climate change impacts on tourism
2006
This paper studies the economic implications of climate-change-induced variations in tourism demand, using a world CGE model. The model is first re-calibrated at some future years, obtaining hypothetical benchmark equilibria, which are subsequently perturbed by shocks, simulating the effects of climate change. We portray the impact of climate change on tourism by means of two sets of shocks, occurring simultaneously. The first set of shocks translate predicted variations in tourist flows into changes of consumption preferences for domestically produced goods. The second set reallocate income across world regions, simulating the effect of higher or lower tourists' expenditure. Our analysis h…
KLUM@GTAP: Introducing biophysical aspects of land-use decisions into a general equilibrium model: A coupling experiment
2006
In this paper the global agricultural land use model KLUM is coupled to an extended version of the computable general equilibrium model (CGE) GTAP in order to consistently assess the integrated impacts of climate change on global cropland allocation and its implication for economic development. The methodology is innovative as it introduces dynamic economic land-use decisions based also on the biophysical aspects of land into a state-of-the-art CGE; it further allows the projection of resulting changes in cropland patterns on a spatially more explicit level. A convergence test and illustrative future simulations underpin the robustness and potentials of the coupled system. Reference simulat…
A Global Perspective on Effectiveness of Aid for Trade
2012
Recent global initiatives on debt relief and development assistance call for increasing aid for trade to the poorest countries. The paper applies a multi-country computable general equilibrium model to measure the effectiveness of alternative aid for trade categories. The findings show that aid for trade policies expand trade and alleviate international income inequalities in the recipient countries, that will benefit mainly from aid for trade adjustment and technical assistance.
Aid for trade policy in developing and least developed countries: A GTAP simulation analysis
2011
Recent global initiatives on debt relief and development assistance call for increasing aid for trade to the poorest countries. We apply a multi-country computable general equilibrium model, to analyze if aid for trade offers the possibility that, instead of the developing and least developed countries’ being worse off—as so many were as the result of the last round of trade negotiations—they will actually be better off. Alternative aid for trade scenarios have been evaluated in terms of effectiveness and equity. Our findings show that aid for trade policies expand trade and alleviate inequalities. The developing and least developed countries will benefit mainly from aid for trade assistanc…
A macroeconomic analysis of the public investments in European combined transport
2009
Intermodal transport has been recognized as a priority by the European Union, that has defined different budget allocations of investments to improve the shifting from road to intermodal transport, which is more sustainable. In this context, the main aim of the paper is to discuss the macroeconomic effects, in terms of economic growth, welfare and trade, of these public investments for combined transport, which aspects have been neglected in literature. A multi-country computable general equilibrium model has been used. The main results have been that the European Union benefits from these investments, but at international level, USA and Japan would lose in terms of welfare. Furthermore, th…
Fiscal sustainability in the EU: From the short-term risk to the long-term challenge
2015
Abstract The paper analyses fiscal sustainability of public debt using a dynamic computable general equilibrium model. First, we identify the short-term risk for fiscal stress at country level; second, we investigate the assumption of convergence towards the government debt threshold (medium-term challenge); and, third, the requirement that debt projections do not show unsustainable trends (long-term challenge). The empirical implementation includes 18 EU Member States. Our findings show that the constant tax rate that stabilizes the public debt converges to 50 percentage of GDP for all the sample countries and tax revenues are the main driving forces for fiscal sustainability. Also our fin…