Resource title

Linking CGE and Microsimulation Models: A Comparison of Different Approaches

Resource image

image for OpenScout resource :: Linking CGE and Microsimulation Models: A Comparison of Different Approaches

Resource description

In the paper we describe in detail how to build linked CGE-microsimulation models (using fictitious data) following three main approaches: one in accordance with the fully integrated approach and the other two according to the layered approach – the so-called Top-Down and Top-Down/Bottom-Up approaches. After this, we implement the same policy reform in each of the three models. Results show that all three approaches yield different results especially in terms of income distribution and poverty, although analysed within the same economy and under the same policy simulation. We then analyse in more detail the TD/BU approach as developed by Savard (2003) and, in order to avoid possible deviations due to data inconsistencies, we propose an alternative way of taking into account feedback effects from the micro level of analysis into the CGE model.

Resource author

Giulia Colombo

Resource publisher

Resource publish date

Resource language

eng

Resource content type

text/html

Resource resource URL

http://hdl.handle.net/10419/24750

Resource license

Adapt according to the presented license agreement and reference the original author.