Model Exercises - An Overview
This course includes hands-on modeling exercises. The objective of the exercises is to help you build practical skills in running a CGE model, defining experiments that represent real-world problems, and locating and explaining model results.
The exercises are designed to be used with the UNI-CGE model, a single-country CGE model written in the GAMS programming language. Links to no-cost GAMS software and to a social accounting matrix for the US are provided in the "Getting Ready" instructions. The case studies emphasize general modeling skills and the role of economic concepts in understanding the model and results.
Before starting the model exercises, read and carry out instructions in the lessons named "Getting Ready." You can read the lessons that start with "How To ..." as you need them.
Table 1 presents suggested links between the modules in this course and the modeling exercises.
| Suggested module | Title | Modeling skill | Economic concept |
|---|---|---|---|
| Introduction | Getting ready | Download model and database | |
| As needed | How to... | How to run the model, define an experiment, read results | |
| Demand | What happened when we stayed home with Covid | Change consumer preferences | LES demand system |
| Supply | Robert Solow and TFP growth | Change a productivity parameter | Direct and indirect gen'l equilibrium effects, macro closures |
| Trade | Immigration and structural change | Change a factor supply | Rybczynski theorem, economic structure |
| Macro | How should the government spend your taxes? | Change a tax rate, change a macro closure | Structural change, macro relationships |