GTAP Resources: Resource Display
| GTAP Resource #7755 |
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"Towards Hybrid Economy-Wide Frameworks for the Distributional Assessment of Climate Policies" Authors: Veruete, Inaki, Milan Scasny and Matej Opatrny Abstract We develop IO-DASMOD, a comparative-static, price-endogenous input–output model with heterogeneous households designed for distributional fiscal and envi- ronmental policy analysis. The model couples an 89-industry Leontief production structure derived from Eurostat Supply and Use Tables with a microsimulation layer built on approximately 3 200 individual households drawn from merged Household Budget Survey and EU-SILC microdata for the Czech Republic. Unlike the stan- dard IO tradition, which treats the demand-driven quantity model and the cost-push price model as independent modules, IO-DASMOD solves prices and quantities si- multaneously: industry prices enter household budgets through factor incomes, and household consumption feeds back into sectoral output through the Leontief quan- tity balance. We describe the multi-stage data preparation that traces household expenditures from COICOP survey categories through CPA products and valuation conversions to NACE industries, and present the full system of model equations. We illustrate the model with a set of uniform carbon-pricing scenarios without rev- enue recycling, finding that the gross burden is regressive: in the strongest scenario (3 000 CZK/tCO2), real equivalised disposable income falls by 2.89% for the bot- tom decile and by 0.84% for the top decile. The anchored poverty rate rises by 1.7 percentage points. The results demonstrate the model’s capacity to trace policy shocks from industry costs through to household-level welfare indicators, providing a transparent screening tool for distributional climate-policy design. |
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- Environmental policies - Advances in quantitative methods - Model integration and coupling - Partial and general equilibrium models - Europe (Eastern) |
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Public Access Paper (1.3 MB) Replicated: 0 time(s) Presentation (1.2 MB) Replicated: 0 time(s)Restricted Access No documents have been attached. Special Instructions No instructions have been specified. |
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Last Modified: 4/30/2026 12:56:16 PM
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