A Complementarity Approach to Solving Computable General Equilibrium Models.

Choi, Sou-Cheng

Computable general equilibrium (CGE) models play a central role in modern economic modeling, bearing on a wide range of important applications in international climate and trade policies, growth and development of countries, national income distribution and equality studies. We formulate a canonical CGE model as a complementarity problem and introduce CIM-EARTH, a collection of open-source extended mathematical programming (EMP) frameworks written in AMPL and C for automatically generating and solving the resultant complementarity problems.

ECONOMIC equilibrium; ECONOMIC models; ECONOMIC policy; MATHEMATICAL programming; C

Computational Economics, 2015, Vol 46, Issue 2, p305

0927-7099

Academic Journal

10.1007/s10614-014-9462-7