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The Standard GTAP Model in GAMS, Version 7.1

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  • van der Mensbrugghe, Dominique

Abstract

The purpose of this document is to describe a version of the Global Trade Analysis Project (GTAP) computable general equilibrium (CGE) model implemented in the General Algebraic Modeling System (GAMS) that is a literal implementation of the standard General Economic Modeling Package (GEMPACK) version. It updates and supersedes the model description provided in van der Mensbrugghe (2018), which remains the main reference. The key revision of the new version is that the model is calibrated to initially normalized variables, similar to Rutherford’s GTAPinGams model (Lanz and Rutherford (2016)). One objective is to improve model scaling and hopefully numerical convergence. One advantage is that it is relatively easy to view the results in percentage change form, similar to the GEMPACK version of the model. The new version includes three additional extensions: national-level Armington preferences for domestic vs. imports, agent-level sourcing by region of origin (a variant of the multi-region input-output model (MRIO)), and rent-generating ad valorem equivalent (AVE) of non-tariff measures (NTMs).

Suggested Citation

  • van der Mensbrugghe, Dominique, 2019. "The Standard GTAP Model in GAMS, Version 7.1," GTAP Working Papers 6825, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
    • Handle: RePEc:gta:workpp:6825
    Note: GTAP Working Paper No. 92
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    References listed on IDEAS

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    6. Malcolm, Gerard, 1998. "Adjusting Tax Rates In The Gtap Data Base," Technical Papers 28721, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Britz, Wolfgang & van der Mensbrugghe, Dominique, 2016. "Reducing unwanted consequences of aggregation in large-scale economic models - A systematic empirical evaluation with the GTAP model," Economic Modelling, Elsevier, vol. 59(C), pages 463-472.
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