GTAP Resources: Resource Display
| GTAP Resource #7884 |
|---|
|
"Increased U.S. Investment Risk: A Macro to Micro Perspective" Authors: Burfisher, Mary and Zeynep Akgul Abstract This paper is a pedagogical exploration of the macro and micro effects of the 2025 ratings downgrade of U.S. treasury bonds using the GTAP CGE model. We describe the investment-savings macro variables and relationships in the model and explain why the experiment leads to falling investment demand in the U.S., a global reallocation of capital and a decline in global capital returns. We then show how to link macro results to micro outcomes based on the structural characteristics of the U.S. economy. This macro-micro linkage approach, led by macro outcomes, demonstrates how an analysis of the factor and commodity results of an experiment can be deepened by grounding it in the broader economic context of the GTAP model’s macro economy. We also find that macro relationships and results are consistent across different GTAP model aggregations, so a macro-micro approach to explaining micro results can be generalized. |
| Resource Details () | GTAP Keywords | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
- Functional forms and closure rules - North America |
| Attachments |
|---|
|
If you have trouble accessing any of the attachments below due to disability, please contact the authors listed above.
Public Access  2026_GTAPConference_US_Investment_Risk (452.9 KB) Replicated: 0 time(s)Restricted Access No documents have been attached. Special Instructions No instructions have been specified. |
| Comments (0 posted) |
|---|
|
You must log in before entering comments.
No comments have been posted. |
Last Modified: 4/20/2026 1:44:43 PM
