The PROVIDE Project Standard Computable General Equilibrium Model: Version 2

Abstract

The paper describes the Standard Computable General Equilibrium (CGE) model developed for the PROVIDE Project. The model allows for a generalised treatment of trade relationships by incorporating provisions for non-traded exports and imports, and competitive and noncompetitive imports, and allows the relaxation of the small country assumption for exported commodities. The model encompasses multiple product activities by differentiating between commodities by the activities that produce them, using a range of production technologies that can be selected by the user. The model is designed for calibration using data compiled as a Social Accounting Matrix (SAM). The model is designed so that it can be readily adapted by the user to incorporate different and/or additional behavioural assumptions.

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