F_Z: Exchange Function
In CGE: Computing General Equilibrium

Description Usage Arguments Value Author(s) References Examples

Given a price vector, a demand coefficient matrix and a supply matrix, this function computes the (disequilibrium) exchange results of an exchange process. There are n commodities and m agents in the exchange process.

1	F_Z(A, p, S)

`A`	a n-by-m demand coefficient matrix.
`p`	a price n-vector.
`S`	a n-by-m supply matrix.

F_Z returns a list containing the following components:

`z`	an exchange amount m-vector.
`q`	a sales rate n-vector.

LI Wu <liwu@staff.shu.edu.cn>

LI Wu (2019, ISBN: 9787521804225) General Equilibrium and Structural Dynamics: Perspectives of New Structural Economics. Beijing: Economic Science Press. (In Chinese)

A <- matrix(c(
  0.05, 0.05, 0.1,
  0.1, 0, 0.1,
  0, 0.15, 0.05
), 3, 3, TRUE)
S <- diag(3)

# a market-clearing price vector
p <- c(0.6, 0.9, 1)
result <- F_Z(A, p, S)
# Each sales rate is equal to 1
result$q
# the purchase matrix
A %*% diag(result$z)

# a non-market-clearing price vector
p <- c(1, 1, 1)
result <- F_Z(A, p, S)
# Some sales rates don't equal 1
result$q
# the purchase matrix
A %*% diag(result$z)