GTAP Resources: Resource Display
|GTAP Resource #404|
"A New Regional Household Demand System for GTAP"
by McDougall, Robert
The GTAP final demand system has some known defects: the computation of the equivalent variation is not exact; with non-standard demand parameters, the equivalent variation may be grossly in error; the decomposition of the equivalent variation contains a nuisance term.
We find a further defect, that the upper-level demand equations are invalid. We revise the model to remove these defects.
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