Computable General Equilibrium Modeling: Theory and Applications

This intermediate/advanced text presents a methodology for analyzing macro and fiscal policies in modern economies with a level of disaggregation beyond standard macro models. It includes computer software to derive numerical solutions and covers topics such as financial assets, government budget deficits, and debt financing of private investment. It also focuses on the applications of CGE models to developing economies and comes with downloadable supplements.

Format: Hardback
Length: 136 pages
Publication date: 08 September 2023
Publisher: Taylor & Francis Ltd

Numerous books have been dedicated to computable general equilibrium (CGE) modeling, yet certain crucial aspects of economic policy have received relatively limited attention. This advanced/intermediate text aims to address this gap by presenting CGE modeling as a methodology for analyzing macro and fiscal policies in modern economies, surpassing the limitations of standard macro models. The book commences by providing a historical and intuitive foundation for general equilibrium analysis, emphasizing its significance in understanding economic dynamics. Subsequently, computer software is introduced to derive numerical solutions for economic models, utilizing data sources that have become integral to CGE applications. Notably, the methodology presented herein distinguishes itself from other CGE books by incorporating financial assets, government budget deficits, and debt financing of private investment into the analysis. These topics are explored within the framework of dynamic optimization, yielding endogenous variables such as inflation, interest, and growth rates. Furthermore, the book dedicates substantial attention to the applications of CGE models in developing economies, recognizing their importance in addressing the unique challenges and opportunities these regions face.

This textbook is accompanied by a comprehensive set of downloadable supplements, making it an invaluable resource for students enrolled in a CGE course as part of advanced microeconomics, macroeconomics, development economics, or international trade economics programs. By delving into these topics in greater detail, the book equips students with the tools and knowledge necessary to understand and analyze the complex dynamics of modern economies, enabling them to make informed policy decisions and contribute to the field of economic research.

Weight: 430g
Dimension: 234 x 156 (mm)
ISBN-13: 9780367272074