ANNOUNCEMENT
Introduction to Computable General Equilibrium (CGE) Modelling with GAMS Workshop
Trade and Industry Policy Strategies (TIPS)
13-18 May, 2013
Pretoria
Most economics curricula deal with macroeconomic tools for studying the economy as a whole and microeconomic tools for studying the behaviour of individual agents or markets. However, practical public and private sector economic analysts often need an economy-wide focus that combines the macroeconomics of the economy as a whole with structural detail that permits analysis of impacts at the sector or household level and of the consequences of interactions amongst them.
Economic modelling techniques that capture economy-wide impacts of policy changes are increasingly being used in academic, consulting, research and policy environments. Input-output (IO) and social accounting matrix (SAM) analysis are used on a regular basis to analyse the impact of policy-related and other changes on the economy. Computable general equilibrium (CGE) models build on these techniques to allow for a wide range of behavioural responses and interactions. Both these approaches have been extended to address broader concerns, such as the impact of policy on the environment or on energy requirements.
These techniques were once the preserve of a handful of leading theoreticians. The IT revolution has allowed them to become part of the practical economist's everyday toolkit. In 2001 Trade and Industrial Policy Strategies (TIPS) started (co-)presenting introductory workshops to cater for the rising demand for these techniques. Since then it has held ten workshops on Economy-Wide Policy Impact Analysis. These have laid the foundation for participation in workshops introducing CGE modelling, of which TIPS has hosted eight. In addition, TIPS has conducted several advanced modelling workshops. These workshops have contributed to the development of a community of builders and users of economy-wide models in Southern Africa.
In May 2013 TIPS will be hosting a workshop on an introduction to GCE modelling using GAMS software. The workshop is designed and presented by academics and experts in the field of economy-wide policy modelling. It integrates theory, real world data, hands-on computer work and real world application. Participants are
- introduced to the micro, macro and trade theories that underlie typical CGE models;
- offered an overview and practical examples of Social Accounting Matrices (SAMs) and of parameter and elasticity estimation methods which typically provide the data on which CGEs are built;
- instructed in the necessary commands in GAMS, a programming language widely used in economy-wide policy modelling; and
- exposed to issues involved in using models for specific applications, such as the analysis of trade, public finance, regulation and environmental economics.
These components of the modeller's tool-kit are taught in an integrated and cumulative way. The theory is developed alongside the practical applications, which move from introductory exercises through to more advanced applications. The applications use materials developed by the International Food Policy Research Institute (IFPRI) and adapted by the workshop instructors to suit Southern African economies.
Participants will apply what they learn to a mini-project, which will be presented to the class at the end of the workshop. By that time, all participants will have sufficient competence to be able to continue developing their skills independently.
The workshop is targeted at those who wish to develop professional expertise in the area with the need to understand the potential and limitations of the use of these approaches. As such it should appeal to analysts in both the public and the private sectors, as well as to students and academics. The workshop is part of the development of a community of builders and users of economy-wide models in Southern Africa.
The workshop builds on previous TIPS Introduction to CGE events in which the GAMS software was not used directly (http://www.tips.org.za/event/fully-booked-introduction-economy-wide-modelling-policy-analysis) and their participants are encouraged to apply. However, no previous exposure to CGE modelling is required, although without it, applicants will be expected to have proven familiarity with SAMs and SAM based modelling through the attendance of previous workshops or courses and/or have a strong proven quantitative and numerical interest.
No pre-reading in CGE is required and all necessary materials will be provided for the course, but interested participants may wish to consult the following references as preliminary reading:
Lofgren, H; Harris, DL & Robinson, S, 2002, A Standard Computable General Equilibrium (CGE) Model in GAMS, Microcomputers in Policy Research 5, http://www.ifpri.org/publication/standard-computable-general-equilibrium-cge-model-gams-0
Lofgren, H, 2003, Exercises in general equilibrium modeling using GAMS and key to exercises in CGE modeling using GAMS, Microcomputers in Policy Research 4a, http://www.ifpri.org/publication/exercises-general-equilibrium-modeling-using-gams-and-key-exercises-cge-modeling-using-g
Fees and Applications
Workshop fees (including sandwich lunch): R12,000 (excluding VAT), US$2,000 for participants from Developed Countries). To ensure that the workshop is pitched at the correct level, we invite interested participants to complete the attached form and send it to denves@xtra.co.nz before 15 March 2013. Successful applicants will be invoiced upon successful registration and payment will be due by 12 April 2013, failing which reserved places will be offered to other applicants on a first come (receipt of payment), first served basis. A 10% discount is offered to more than two applications from a single institution. The organisers reserve the right to cancel the event if the minimum number of 15 participants is not reached by the payment due date of 12 April 2013. The maximum number of participants is 20.
Further information on registration, accommodation and required preparation can be obtained from the workshop conveners:
Dirk Ernst van Seventer or Rob Davies