IDEAS home Printed from https://ideas.repec.org/p/ags/pugttp/283424.html
   My bibliography  Save this paper

GTAP-M: A GTAP Model and Data Base that Incorporates Domestic Margins

Author

Listed:
  • Peterson, Everett B.

Abstract

Transportation, wholesaling, and retailing activities are a significant segment of economic activity in many economies. The magnitude of these activities can vary greatly between products, users, and regions. However, in most applied general equilibrium (AGE) analyses, these marketing activities are not tied to specific commodities. This paper develops a model framework and database that incorporates domestic marketing margins on domestic and imported goods going to final demand or used as intermediate inputs, and margins on exports, into the standard GTAP Model. The effects of incorporating domestic marketing activities into an AGE model are illustrated by comparing the results of the standard GTAP Model to the new GTAP-M Model for several different technological change scenarios. The comparison yields two main results. First, tying the domestic marketing activities to specific commodities changes the degree of price transmission from producers to users, compared to a model that does not include margin activities explicitly. The second main result is that the magnitude of the elasticity of substitution between commodities and the composite marketing activity is very important. Allowing variable margins creates a new source of demand-responsiveness for commodities which can significantly alter the results of policy simulations.

Suggested Citation

  • Peterson, Everett B., 2006. "GTAP-M: A GTAP Model and Data Base that Incorporates Domestic Margins," Technical Papers 283424, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugttp:283424
    DOI: 10.22004/ag.econ.283424
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/283424/files/26.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.283424?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sarica, Kemal & Tyner, Wallace E., 2013. "Analysis of US renewable fuels policies using a modified MARKAL model," Renewable Energy, Elsevier, vol. 50(C), pages 701-709.
    2. Hertel, Thomas, 2013. "Global Applied General Equilibrium Analysis Using the Global Trade Analysis Project Framework," Handbook of Computable General Equilibrium Modeling, in: Peter B. Dixon & Dale Jorgenson (ed.), Handbook of Computable General Equilibrium Modeling, edition 1, volume 1, chapter 0, pages 815-876, Elsevier.
    3. Bartelings, Heleen & Verma, Monika & Boysen-Urban, Kirsten & Verma, Monika, 2021. "Waste management and circular economy in a CGE framework," Conference papers 333314, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    4. Fan Yang & Eddy Bekkers & Martina Brockmeier & Joseph Francois, 2015. "Food Price Pass‐Through and the Role of Domestic Margin Services," Journal of Agricultural Economics, Wiley Blackwell, vol. 66(3), pages 796-811, September.
    5. Meriem Hamdi-Cherif & Frédéric Ghersi, 2012. "Correcting the 'self-trade' issue in the GTAPAgg software - Technical paper," Working Papers hal-00866558, HAL.
    6. McDonald, Scott & Thierfelder, Karen & Robinson, Sherman, 2008. "Leveling the Global Playing Field: Taxing Energy Use and Carbon Emissions," Conference papers 331766, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Peterson, Everett B. & Lee, Huey-Lin, 2009. "Implications of incorporating domestic margins into analyses of energy taxation and climate change policies," Economic Modelling, Elsevier, vol. 26(2), pages 370-378, March.
    8. Erwin Corong & Thomas Hertel & Robert McDougall & Marinos Tsigas & Dominique van der Mensbrugghe, 2017. "The Standard GTAP Model, version 7," Journal of Global Economic Analysis, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, vol. 2(1), pages 1-119, June.
    9. Strutt, Anna & Turner, James A. & Haack, Robert A. & Olson, Lars, 2013. "Evaluating the impacts of an international phytosanitary standard for wood packaging material: Global and United States trade implications," Forest Policy and Economics, Elsevier, vol. 27(C), pages 54-64.
    10. Wolfgang Britz & Roberto Roson, 2018. "Exploring Long Run Structural Change with a Dynamic General Equilibrium Model," Working Papers 2018: 12, Department of Economics, University of Venice "Ca' Foscari".
    11. Meriem Hamdi-Cherif & Frédéric Ghersi, 2012. "Correcting the 'self-trade' issue in the GTAPAgg software - Technical paper," CIRED Working Papers hal-00866558, HAL.
    12. Beckman, Jayson & Jones, carol Adaire & Sands, Ron, 2010. "A Global General Equilibrium Analysis of the Interactions between Biofuel Mandates and Greenhouse Gas Mitigation Policy," Conference papers 332015, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:pugttp:283424. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/gtpurus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.