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GTAP Resources: Resource Display

GTAP Resource #3332

"How Green are Agricultural Set Asides? An Analysis at the Global and Regional Levels"
by Britz, Wolfgang, Thomas Hertel and Janine Pelikan


Abstract
The paper analyzes the global, EU and regional effects of introducing a bio-diversity targeted set-aside program in the EU. It is based on a study by Britz and Hertel (2009), which links the CAPRI and GTAP models through a common supply system, as characterized by a multi-product, restricted revenue function for the EU crops sector. This normalized quadratic, maximum revenue function is estimated based on results from the CAPRI model and then directly incorporated into GTAP. In this paper, the approach is extended by including in the CAPRI-estimated Hessian, summary information regarding the impact of varying set aside requirements on commodity supplies. That is, the set aside requirement is treated as a fixed factor in the restricted revenue function. This allows the set-aside shock to be introduced directly into the GTAP model, as a shock to the fixed factor. Having solved the extended GTAP model for a global equilibrium, the price changes are passed back to the CAPRI model in order to assess the production, income and environmental impacts of the program at the NUTS2 level.



Resource Details (Export Citation) GTAP Keywords
Category: 2010 Conference Paper
Status: Published
By/In: Presented at the 13th Annual Conference on Global Economic Analysis, Penang, Malaysia
Date: 2010
Version:
Created: Pelikan, J. (4/15/2010)
Updated: Pelikan, J. (6/17/2010)
Visits: 1,492
No keywords have been specified.


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