gemInputOutputTable_easy_5_4: An Easy General Equilibrium Model based on a 5×4 Input-Output...

In GE: General Equilibrium Modeling

An Easy General Equilibrium Model based on a 5×4 Input-Output Table (see Zhang Xin, 2017, Table 8.6.1)

Description

This is a general equilibrium model based on a 5×4 input-output table (see Zhang Xin, 2017, Table 8.6.1).

Usage

gemInputOutputTable_easy_5_4(
  IT = cbind(sector.agri = c(agri = 260, manu = 345, serv = 400, lab = 200, cap = 160),
    sector.manu = c(agri = 320, manu = 390, serv = 365, lab = 250, cap = 400),
    sector.serv = c(agri = 150, manu = 390, serv = 320, lab = 400, cap = 210), sector.hh
    = c(agri = 635, manu = 600, serv = 385, lab = 0, cap = 0)),
  supply.labor = 850,
  supply.capital = 770,
  es.agri = 0.2,
  es.manu = 0.3,
  es.serv = 0.1,
  es.VA.agri = 0.25,
  es.VA.manu = 0.5,
  es.VA.serv = 0.8
)

Arguments

IT	the input and consumption part of the input-output table.
supply.labor	the supply of labor.
supply.capital	the supply of capital.
es.agri, es.manu, es.serv	the elasticity of substitution between the intermediate input and the value-added input of the agriculture sector, manufacturing sector and service sector.
es.VA.agri, es.VA.manu, es.VA.serv	the elasticity of substitution between labor input and capital input of the agriculture sector, manufacturing sector and service sector.

Details

Given a 5×4 input-output table (e.g., see Zhang Xin, 2017, Table 8.6.1), this model calculates the corresponding general equilibrium. This input-output table contains 3 production sectors and one household. The household consumes products and supplies labor and capital.

Value

A general equilibrium, which is a list with the following elements:

• p - the price vector with labor as numeraire.

• D - the demand matrix, also called the input table. Wherein the benchmark prices are used.

• DV - the demand value matrix, also called the value input table. Wherein the current price is used.

• SV - the supply value matrix, also called the value output table. Wherein the current price is used.

• ... - some elements returned by the CGE::sdm function

References

Zhang Xin (2017, ISBN: 9787543227637) Principles of Computable General Equilibrium Modeling and Programming (Second Edition). Shanghai: Gezhi Press. (In Chinese)

Examples

sector.agri <- c(260, 345, 400, 200, 160)
sector.manu <- c(320, 390, 365, 250, 400)
sector.serv <- c(150, 390, 320, 400, 210)
sector.hh <- c(635, 600, 100, 0, 0)

IT <- cbind(sector.agri, sector.manu, sector.serv, sector.hh)
rownames(IT) <- c("agri", "manu", "serv", "lab", "cap")

ge <- gemInputOutputTable_easy_5_4(IT)

####
ge <- gemInputOutputTable_easy_5_4(supply.capital = 1870)
prop.table(ge$z[1:3])

GE documentation built on Nov. 8, 2023, 9:07 a.m.