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GTAP Data Bases: GTAP 6 Data Base Beta Release

The GTAP 6 Beta Release Data Base is a preliminary version of the GTAP 6 Data Base. The Beta Release incorporates nearly all the updated data inputs for the GTAP Data Base except for updated 2001 energy data and income and factor taxes. Preliminary documentation is provided on this page. The official documentation for the GTAP 6 Data Base will be posted on this page as the chapters become available, and will be published as:

Dimaranan, Betina V. and Robert A. McDougall, Editors (2005, forthcoming). Global Trade, Assistance, and Production: The GTAP 6 Data Base, Center for Global Trade Analysis, Purdue University, West Lafayette, Indiana, USA.

I. Comparison of GTAP 5 Data Base, GTAP 5.4 Data Base and GTAP 6 Data Base Beta Release

GTAP 5 GTAP 5.4 GTAP 6 Beta GTAP 6
Reference year 1997 1997 2001 2001
No. of Sectors 57 57 57 57
Sector Names No change No change Revised: Forestry (FOR renamed FRS), Coal (COL renamed COA) Same as GTAP 6 Beta Data Base
No. of Regions 66 78 87 87
New Primary Regions Albania, Bulgaria, Croatia, Cyprus, Czech Republic, Malta, Romania, Slovakia, Slovenia, Estonia, Latvia, Lithuania, Russian Federation, Madagascar, Tunisia, South Africa
Updated I-O Tables Indonesia, Malaysia, Philippines, Singapore, Thailand Australia, New Zealand, Korea, Taiwan, Singapore, India, Argentina, Brazil, Colombia, Netherlands, Turkey
Macroeconomic Data 1997; World Bank and other sources See GTAP 5 2001; World Bank and other sources; revised procedure (see below) See GTAP 6 Beta Data Base
Government Consumption as available in I-O tables See GTAP 5 revised treatment (see below) See GTAP 6 Beta Data Base
Trade Data 1997; COMTRADE through ERS/USDA See GTAP 5 2001; COMTRADE through ERS/USDA; re-exports data for NLD See GTAP 6 Beta Data Base
Domestic Support 1997, OECD PSE data, covers OECD countries, with EU disaggregation See GTAP 5 2001, OECD PSE data, covers OECD and some non-member countries, with EU disaggregation See GTAP 6 Beta Data Base
Export Subsidies 1998 See GTAP 5 2001 See GTAP 6 Beta Data Base
MFA Export Tax Equivalent 1997 estimates See GTAP 5 2001 estimates See GTAP 6 Beta Data Base
Agricultural Tariffs ~ 1997 MFN; AMAD See GTAP 5 2001 Preferential; MAcMap (AMAD is one of the source datasets) See GTAP 6 Beta Data Base
Merchandise Tariffs 1997 MFN; UNCTAD/ World Bank through WITS See GTAP 5
Energy Data 1997 energy volumes and prices data See GTAP 5 2001 energy volumes data with 1997 energy prices data 1997 energy prices data updated to 2001 using price indices
Income and Factor Taxes none none none 2001
Demand Elasticities from FAO and other sources See GTAP 5 Revised (see below) See GTAP 6 Beta Data Base
Trade Elasticities from SALTER See GTAP 5 Revised (see below) See GTAP 6 Beta Data Base
Time Series Trade 1965 - 1998 See GTAP 5 See GTAP 5 Extended to 2002 using new data for 1992 - 2002

II. Domestic Data Bases
II.A Renamed Sectors
The disaggregation of each regional economy to 57 sectors remains the same in the GTAP 5 Data Base and GTAP 6 Data Base. However, the 3-letter codes for two sectors were revised in GTAP 6 Data Base in order to avoid confusion between reserved words in some programs and with 3-letter codes for regions. The 3-letter code for Forestry was changed from FOR to FRS and that for Coal was changed from COL to COA.

II.B New Regions
A total of 16 new primary regions have been added to the GTAP Data Base since GTAP 5 bringing the total to 87 regions. Primary regions are the countries for which we have national input-output tables. The 13 new regions introduced in the GTAP 5.4 Data Base are: Albania, Bulgaria, Croatia, Cyprus, Czech Republic, Malta, Romania, Slovakia, Slovenia, Estonia, Latvia, and Lithuania and the Russian Federation. Tunisia, South Africa, and Madagascar are included in the GTAP 6 beta release Data Base. A detailed listing of the 87 GTAP 6 Data Base regions and their country composition is available in MSExcel format here.

II.C Updated Regions
Aside from introducing new regions, updated input-output tables for regions that are already in the Data Base were also incorporated in the GTAP 6 beta release Data Base. More recent input-output tables for the Southeast Asian countries (Indonesia, Malaysia, Philippines, Thailand, Singapore) were included in GTAP 5.4. Updated input-output tables for 11 countries (Australia, New Zealand, Korea, Taiwan, Singapore, India, Argentina, Brazil, Colombia, Netherlands, Turkey) are included in the GTAP 6 Data Base.

II.D Agricultural Production Targeting
The input-output tables of several countries, especially the OECD members, are pre-adjusted to match 2001 agricultural production statistics by sector. This was done initially for the European Union member countries to more accurately reflect the shares of each member to total agricultural production in the EU.

The 2001 agricultural production targets were sourced from EUROSTAT and contributed to GTAP by Hans Grinsted Jensen of FOI.

Pre-adjustment of agricultural production in the I-O tables also became necessary in order to more accurately reflect domestic support payments. GTAP calculates domestic support rates from OECD PSE data and applies these to value of production in the GTAP Data Base to get the total value of support. The decision to pre-adjust the I-O tables for other OECD countries came about because of the observed large discrepancy between the actual value of agricultural support and the value of agricultural support calculated from the GTAP Data Base. The I-O tables for the EU15, Australia, New Zealand, Japan, Korea, USA, Canada, Mexico, Switzerland, Czechoslovakia, Hungary, Poland, Slovakia, Russian Federation, Turkey, and Brazil are now pre-adjusted to match 2001 agricultural production data. Hsin Huang (OECD) supplied GTAP with the agricultural production targets for the non-EU15 OECD countries.

II.E Composite Regions
The I-O data for composite regions are constructed from the I-O tables of primary regions, i.e. the regions for which we have contributed I-O tables. In the GTAP 6 Data Base, we eliminated the Rest of World region (XRW) in the GTAP 5 Data Base and GTAP 5.4 Data Base and replaced it with several geographic composite regions. This is designed to better facilitate the analysis of regional agreements. The GTAP 6 Data Base includes 18 composite regions.

The general procedure for constructing I-O tables for composite regions, as outlined in Chapter 14 of the GTAP 5 documentation, involves matching the countries comprising the composite region with the primary regions on the basis of similarity in per capita GDP and then summing up the I-O data for the matched primary regions according to GDP share weights. In some cases, this mapping is revised so that the I-O table for the composite region is based only on one or a few primary regions which share similar geographic characteristics. In constructing the GTAP 6 Data Base, we have now revised the procedure so that the countries comprising the composite region are matched on the basis of similarity in per capita GDP only with the primary regions which are in the same geographic area. Thus, for example, the I-O table for the Rest of South America is now constructed from the I-O tables of Colombia, Argentina, and Uruguay only.

III. International Datasets: Sources and Procedure Changes
III.A Macroeconomic Data
Macroeconomic aggregates (GDP, private consumption, government consumption, and investment) are used in updating the input-output tables to a common reference year – 2001. The primary source of 2001 macroeconomic data used in the GTAP 6 Data Base is the World Bank. The data is augmented with macroeconomic data from other published sources such as the World Development Report and the CIA Factbook.

The handling of GDP aggregates data has been revised in the GTAP 6 Data Base. Our practice in previous versions of the Data Base was to use the estimates of private consumption (C), investment (I), and government consumption (G) from the macroeconomic dataset from the World Bank as targets in adjusting the regional input-output data. However, for exports (X) and imports (I), we use the trade totals from the reconciled bilateral trade data from Mark Gehlhar of ERS/USDA.Since the trade totals do not match the total export and imports in the World Bank dataset, the resulting final GDP does not match the World Bank's GDP estimates. We have now adjusted the GDP aggregates (C, I, G) so that together with the trade data totals from Mark Gehlhar's trade data, the resulting GDP in GTAP 6 Data Base now matches that from the World Bank macroeconomic dataset.

Another adjustment introduced in the GTAP 6 Data Base is in the composition of government consumption expenditures. The ratio of government consumption to GDP in the I-O tables is compared to data from the International Financial Statistics. When this ratio is significantly different, typically too low, then the sectoral composition of government consumption in the I-O table is adjusted according to data from the representative table. This adjustment affected the domestic databases of Uruguay, Malta and Morocco.

III.B Trade Data
As in previous versions of the GTAP Data Base, reconciled bilateral 2001 merchandise trade data, based on data from COMTRADE, was contributed by Mark Gehlhar of ERS/USDA. Documentation on the reconciliation procedure is given in Chapter 15.B of the GTAP 5 documentation. In the GTAP 6 Data Base, the bilateral trade data was augmented with national trade data from the Netherlands in order to more accurately account for Dutch re-exports. Services trade data was updated to 2001 using the IMF Balance of Payments Statistics. Modal shares based on merchandise trade data for the U.S. were also updated to 2001.

III.C Protection Data
III.C.1 Domestic Support
Domestic support data for 2001 from the OECD PSE/CSE database are incorporated in the GTAP 6 Data Base. We follow the same procedure and mapping of the PSE components into four domestic support categories (output subsidies, input subsidies, land-based payments, and capital-based payments) as documented in Chapter 16.A of the GTAP 5 Data Base documentation.Hans Grinsted Jensen (FOI) again supplied the disaggregated agricultural domestic support for the EU countries for 2001. Similar work for GTAP 5 is documented in Chapter 16.E.

There are a couple of changes in the coverage of the domestic support data for the GTAP 6 Data Base. The country coverage of the data has been expanded to include some non-OECD member countries. Hsin Huang (OECD) supplied data not only for the OECD countries but also for non-member economies. Domestic support data are now available for the following OECD countries: Australia, Canada, European Union, Hungary, Iceland, Japan, Korea, Mexico, Norway, Poland, Slovakia, Switzerland, Turkey, and the United States. The non-OECD member economies covered in the domestic support dataset are: Bulgaria, Romania, Slovenia, Estonia, Latvia, Lithuania, and Russia.

The second modification is in the treatment of data for the following GTAP sectors: fruits and vegetables (v_f), plant-based fibers (pfb), and other crops (ocr). Since these GTAP commodities are not separately identified in the OECD PSE/CSE database but are all grouped under "Miscellaneous Commodities", we did not have domestic support data for these sectors in the GTAP 5 Data Base. For the GTAP 6 Data Base, Hans Jensen supplied disaggregated data for these commodities for the EU countries. To have a treatment parallel for non-EU countries, we assigned the average domestic support reported for "Miscellaneous Commodities" in the OECD PSE data uniformly to these GTAP commodities for the non-EU countries covered in the domestic support dataset.

III.C.2 Agricultural Export Subsidies
Agricultural export subsidy data for 2001, calculated from country notifications to the WTO, was contributed by Aziz Elbehri of ERS/USDA. Similar work by Aziz for GTAP 5 is documented in Chapter 16.D. Agricultural export subsidies are identified for the United States, Norway, Hungary, Poland, Israel, Slovakia, and the European Union. Data is still for 2000 for Korea, Canada, Switzerland, Czech Republic, and Turkey. We continue to use a common agricultural export subsidy rate for the EU member countries.

We have revised the treatment of export subsidies/taxes for services commodities. In the past, we used the export subsidy/taxes data available in some of the I-O tables to cover data that are missing from the external protection datasets. We continue to do so for the small number of missing data for non-agricultural merchandise commodities. However, because there is no external data source for services protection, we used to rely completely on protection for services that is extracted from the I-O tables. We have now dropped this practice since not all of the I-O tables report protection data and because the services protection data for some regions may be outdated and/or erroneous.

III.C.3 MFA Export Tax Equivalents
Estimates of the export tax equivalent (ETE) of the export quotas on textiles and clothing (wearing apparel) exports under the Agreement on Textiles and Clothing (ATC) for 2001 were again provided by Joseph Francois and Dean Spinanger. Francois and Spinanger generated the ETE estimates using a non-linear least squares estimation model with bilateral trade data on textiles and clothing, underlying tariffs, and the coverage of the ATC quotas. Documentation of their work for the GTAP 5 Data Base is given in Chapter 16.F.

III.C.3 Import Tariffs
The tariff data for the GTAP 6 Data Base has changed significantly in terms of sourcing, coverage, nature and quality, and data processing. The tariff data is a central feature of the GTAP 6 Data Base in light of quantitative analyses of the Doha Development Agenda and the burgeoning number preferential trading arrangements in the past few years.

In the GTAP 5 Data Base, agricultural tariffs and merchandise tariffs were obtained from the two separate sources. Agricultural tariff data were obtained from the Agricultural Trade Policy Database which is based on the Agricultural Market Access Database (AMAD). The non-bilateralized data on agricultural tariffs for 46 countries were MFN applied rates for 1998, where available, or bound rates for countries where applied rates were not reported. Data on merchandise tariffs were obtained from the World Bank and UNCTAD through an early version of the World Integrated Trade Software (WITS). Bilateral, MFN applied, trade-weighted tariff data for 1997 or for the closest available year were obtained for 118 importers and 238 partner exporters.

The 2001 tariff data in the GTAP 6 Data Base is from the Market Access Maps (MAcMap) contributed by the Centre d'Etudes Prospectives et d'Information Internationales (CEPII). The MAcMap Data Base is compiled from UNCTAD TRAINS data, country notifications to the WTO, AMAD, and from national customs information. Preliminary documentation about the MAcMap database, its sources and methodology are available here. In the GTAP 6 Data Base, we use trade-weighted preferential rates data on ad valorem tariffs (including tariff rate quotas) plus the ad valorem equivalents (AVEs) of specific tariffs. The MAcMap tariff data for agriculture and merchandise commodities is provided to GTAP at the GTAP sectoral classification for 163 importer countries and 208 partner exporters. The data is then aggregated to the GTAP regional classification using GTAP’s reconciled bilateral trade data as weights.

Since we are now using preferential rates tariff data, we have stopped implementing our previous approach of applying zero rates for known free trade areas (CER, NAFTA, EU, EU-EFTA, and SACU). In the case of missing data, we still use our usual approach of using the protection rates implied in the input-output tables. However, we have excluded services commodities from this practice.

III.D Behavioral Parameters
The GTAP Data Base includes a parameters file that consists of the various behavioral parameters used in the standard GTAP Model. These include the source substitution or Armington elasticities (ESUBD and ESUDM), the factor substitution elasticities (ESUBVA), the factor transformation elasticities (ETRAE), the investment parameters (RORDELTA and RORFLEX), and the consumer demand parameters (SUBPAR and INCPAR). The behavioral parameters are documented in Chapter 20 of the GTAP 5 Data Base documentation. Improved consumer demand parameters and Armington elasticity estimates, based on recent econometric work, are incorporated in the GTAP 6 Data Base.

III.D.1 Consumer Demand Parameters
SUBPAR and INCPAR, respectively, are the substitution and the expansion parameters in the constant difference of elasticities (CDE) demand function used in the specification of private household demands in the GTAP Model. The CDE demand parameters in previous versions of the GTAP Data Base were calibrated from income elasticity estimates that were compiled from the World Food Model of the FAO and from other published sources. The CDE demand parameters in GTAP 6 are now calibrated from expenditure elasticities that are in turn calculated using parameters from the AIDADS model estimated using GTAP data. The econometric work is reported in Reimer and Hertel, 2003.

III.D.2 Trade Elasticities
ESUBM is the elasticity of substitution among sources of imports in the Armingtonaggregation structure for all agents in all regions. In previous versions of the GTAP Data Base, the source substitution elasticities were taken from the SALTER model. The new estimates of ESUBM introduced in the GTAP 6 Data Base are based on recent econometric work reported in Hertel, Hummels, Ivanic, and Keeney, 2003. For the elasticity of substitution between domestic and imported goods (ESUBD), we continue to rely on the "rule of two" where ESUBM = 2*ESUBD. The revised trade elasticity estimates are available for the 42 GTAP merchandise commodities. We continue to use the previous GTAP trade elasticities that were obtained from the SALTER project for the 15 services sectors.