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On the development of raem: The dutch spatial general equilibrium model and it's first application to a new railway link

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  • Thijs Knaap
  • Jan Oosterhaven
  • Lóri Tavasszy

Abstract

This paper describes the development of a spatial computable general equilibrium model aimed at estimating the indirect economic effects of major transport infrastructure projects on Dutch regions. The RAEM model is based in the so-called new economic geography literature. It employs monopolistic competition for fourteen sectors as the basic market form, and calibrates most of its coefficients on recently constructed bi-regional input-output tables for the Netherlands. The general outline of the model is described and the way it fits in with evaluation schemes presently adopted by the Dutch government and the European Commission. A first version of the model has been applied to a base scenario for the year 2020 and has been used for evaluating the indirect economic effects of a new railway link between Amsterdam and Groningen. The paper describes the results of this exercise and discusses the way the RAEM model will be developed further in the near future.

Suggested Citation

  • Thijs Knaap & Jan Oosterhaven & Lóri Tavasszy, 2001. "On the development of raem: The dutch spatial general equilibrium model and it's first application to a new railway link," ERSA conference papers ersa01p171, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa01p171
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    1. Masahisa Fujita & Paul Krugman & Anthony J. Venables, 2001. "The Spatial Economy: Cities, Regions, and International Trade," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262561476, April.
    2. Dixit, Avinash K & Stiglitz, Joseph E, 1977. "Monopolistic Competition and Optimum Product Diversity," American Economic Review, American Economic Association, vol. 67(3), pages 297-308, June.
    3. Johannes BrÃcker, 1998. "original: Operational spatial computable general equilibrium modeling," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 32(3), pages 367-387.
    4. Piet Rietveld & Frank Bruinsma, 1998. "Is Transport Infrastructure Effective?," Advances in Spatial Science, Springer, number 978-3-642-72232-5.
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    Cited by:

    1. Mark Thissen & Narisra Limtanakool & Hans Hilbers, 2011. "Road pricing and agglomeration economies: a new methodology to estimate indirect effects applied to the Netherlands," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(3), pages 543-567, December.
    2. Alfried BRAUMANN & Christoph SCHMID, 2010. "New Road Transport Infrastructure and Sectoral Regional Growth: A SCGE Analysis for the A4 Extension to the Austrian-Hungarian Border," Regional and Urban Modeling 284100010, EcoMod.
    3. Andersson, Matts & Dehlin, Fredrik & Jörgensen, Peter & Pädam, Sirje, 2015. "Wider economic impacts of accessibility: a literature survey," Working papers in Transport Economics 2015:14, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
    4. Mark Thissen & Hans Hilbers & Paul Van De Coevering, 2009. "The Difference Between Bi‐Regional And Full Networks When Analysing Agglomeration Effects," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 100(2), pages 171-182, April.
    5. Hensher, David A. & Teye, Collins, 2019. "Commodity interaction in freight movement models for New South Wales," Journal of Transport Geography, Elsevier, vol. 80(C).
    6. Karl Steininger & Alfried Braumann & Hannes Pichler & Erik Schaffer & Christoph Schmid, 2000. "New Primary Road Transport Infrastructure and the Development of Spatial Distribution of Growth: A SCGE Analysis for an Eastern Austrian Border Region," Regional and Urban Modeling 283600091, EcoMod.
    7. Simmonds, David & Feldman, Olga, 2011. "Alternative approaches to spatial modelling," Research in Transportation Economics, Elsevier, vol. 31(1), pages 2-11.
    8. repec:mul:je8794:doi:10.1429/34355:y:2011:i:1:p:125 is not listed on IDEAS
    9. Sánchez-Díaz, Iván, 2017. "Modeling urban freight generation: A study of commercial establishments’ freight needs," Transportation Research Part A: Policy and Practice, Elsevier, vol. 102(C), pages 3-17.
    10. Attila Varga & Péter Járosi & Tamás Sebestyén, 2011. "Modeling the growth effects of regional knowledge production: The GMR-Europe model and its applications for EU Framework Program policy impact simulations," ERSA conference papers ersa11p1426, European Regional Science Association.
    11. Tavasszy, L.A. & Thissen, M.J.P.M. & Oosterhaven, J., 2011. "Challenges in the application of spatial computable general equilibrium models for transport appraisal," Research in Transportation Economics, Elsevier, vol. 31(1), pages 12-18.
    12. Ying Jin & Marcial Echenique & Anthony Hargreaves, 2013. "A Recursive Spatial Equilibrium Model for Planning Large-Scale Urban Change," Environment and Planning B, , vol. 40(6), pages 1027-1050, December.
    13. Varga, Attila & Járosi, Péter & Koike, Atsushi & Thissen, Mark, 2010. "Regionális fejlesztéspolitikai hatáselemzés térbeli számszerűsített általános egyensúlyi modellel [Effect analysis of regional development policy using a spatial, numerical model of general equilib," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(2), pages 165-180.
    14. Bert Hof & Arjan Heyma & Toon Hoorn, 2012. "Comparing the performance of models for wider economic benefits of transport infrastructure: results of a Dutch case study," Transportation, Springer, vol. 39(6), pages 1241-1258, November.
    15. Tomoki Ishikura & Atsushi Koike & Keisuke Sato, 2012. "An Analysis on Differences in Spatial Computable General Equilibrium Models by Market Structure Assumption -A Comparison of Perfect Competition Modeling and Monopolistic Competition Modeling-," ERSA conference papers ersa12p333, European Regional Science Association.
    16. Siroos Shahriari & Edward N. Robson & Jason Wang & Vinayak V. Dixit & S. Travis Waller & Taha H. Rashidi, 2023. "Integrating a computable general equilibrium model with the four-step framework," Transportation, Springer, vol. 50(4), pages 1213-1260, August.

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