Veranstaltungen
Lecture
General Equilibrium Models of Open Economies
- Name in diploma supplement
- General Equilibrium Models of Open Economies
- Organisational Unit
- Lehrstuhl für VWL, insb. Internationale Wirtschaftsbeziehungen
- Lecturers
- Prof. Dr. Volker Clausen
- Cycle
- every second winter semester
- SPW
- 2
- Language
- English
- Participants at most
- no limit
- Participants
Preliminary knowledge
Advanced knowledge in the field of international trade
Abstract
The course provides deep knowledge of design and implementation of Computable General Equilibrium (CGE) models.
Qualification Targets
Students
- have a deepened understanding of computable general equilibrium models
- master the basics of implementation of the general equilibrium models
- are able to adopt this methodology in their independent quantitative analyses
- can describe and interpret the results from general equilibrium models linking them to relevant theory
Contents
- Introduction to computable general equilibrium analysis
- Comparative static analysis of a closed economy with two goods and two production factors
- Extensions of the basicmodel for a closed economy with heterogeneous labor, heterogeneous households and endogenous labor supply
- Models of open economies: extension of the basic model for an open economy with import tariffs and quotas and other trade policies
- General equilibrium models with imperfect competition on the goods markets
Literature
- Francois/Reinert, Applied Methods for Trade Policy Analysis;
- Jones, The Structure of Simple General Equilibrium Models;
- Shoven/Whalley, Applying General Equilibrium;
- Articles from economics literature
Teaching concept
The class is held in the form of lectures. The construction and implementation of the abovementioned models is illustrated by using a special software (GAMS, „General Algebraic Modeling System“) as well as a special programming language for general equilibrium models (MPSGE, „Mathematical Programming System for General Equilibrium“).