$TITLE: M10-4b.gms *CALIBRATES MODEL TO SHEET IO-1 IN M10-IOTABLE.XLS *TRADE SURPLUS OF 5 *cross-hauling modeled with Armington assumption $ONTEXT Ag Man Ser Cons Exports Imports 1 2 3 4 5 6 SUM(1:5) - (6) Ag 1 5 6 9 30 5 10 | 45 Man 2 10 15 20 60 20 10 |115 Ser 3 12 13 5 110 |140 Wages 4 9 30 66 |105 Rents 5 9 51 40 |100 _______________________________________ 45 115 140 200 25 -20 Micro consistent: total value added (205 = 105+100) = consumption + trade surplus (205 = 200 + 20 - 10) Net Ag Net Man Net Ser Export Imports Welf Cons Row Ag 40 -6 -9 -5 10 -30 | 0 Man -10 100 -20 -20 10 -60 | 0 Ser -12 -13 135 -110 | 0 Wages -9 -30 -66 105 | 0 Rents -9 -51 -40 100 | 0 For ex 25 -20 -5 | 0 Welfare 200 -200 | 0 _______________________________________________________ Col sums 0 0 0 0 0 0 0 $OFFTEXT PARAMETERS PWA world price of agriculture PWM world price of manufactures; PWA = 1; PWM = 1; $ONTEXT $MODEL:M10_4 $SECTORS: AGR MAN SER IMAGR EXAGR EXMAN IMMAN WELFARE $COMMODITIES: PAGR_D PAGR_F PMAN_D PMAN_F PSER PL PK PFX PWEL $CONSUMERS: CONS $PROD:AGR s:1 O:PAGR_D Q:45 I:PAGR_D Q:5 I:PMAN_D Q:10 I:PSER Q:12 I:PL Q:9 I:PK Q:9 $PROD:MAN s:1 O:PMAN_D Q:115 I:PAGR_D Q:6 I:PMAN_D Q:15 I:PSER Q:13 I:PL Q:30 I:PK Q:51 $PROD:SER s:1 O:PSER Q:140 I:PAGR_D Q:9 I:PMAN_D Q:20 I:PSER Q:5 I:PL Q:66 I:PK Q:40 $PROD:IMAGR O:PAGR_F Q: 10 I:PFX Q:(10*PWA) $PROD:EXMAN O:PFX Q:(20*PWM) I:PMAN_D Q: 20 $PROD:EXAGR O:PFX Q:(5*PWA) I:PAGR_D Q: 5 $PROD:IMMAN O:PMAN_F Q: 10 I:PFX Q:(10*PWM) $PROD:WELFARE s:1 a:5 b:5 O:PWEL Q:200 I:PAGR_D Q:20 a: I:PAGR_F Q:10 a: I:PMAN_D Q:50 b: I:PMAN_F Q:10 b: I:PSER Q:110 $DEMAND:CONS D:PWEL E:PL Q:105 E:PK Q:100 E:PFX Q:(-5) $OFFTEXT $SYSINCLUDE MPSGESET M10_4 PWEL.FX = 1; EXAGR.L = 1; M10_4.ITERLIM = 0; $INCLUDE M10_4.GEN SOLVE M10_4 USING MCP; M10_4.ITERLIM = 2000; $INCLUDE M10_4.GEN SOLVE M10_4 USING MCP; * counterfactual: double the world price of the export good M PWM = 2; $INCLUDE M10_4.GEN SOLVE M10_4 USING MCP; * counterfactual: double the world price of the import good A PWM = 1; PWA = 2; $INCLUDE M10_4.GEN SOLVE M10_4 USING MCP;