Economy-Wide Models

Economy-wide models examine policy effects as they are spread throughout an economy. RTI economists support customized economy-wide model development using standard general-purpose solution software: GAMS/MPSGE and GEMPACK. We provide examples of these selected applications below.

An RTI Macroeconomic Analysis System (ARTIMAS)

ARTIMAS is a macroeconomic data management and modeling system that provides clients with macroeconomic policy evaluations. The current base configuration of ARTIMAS provides access to a cost-effective, single-period, country-level CGE model that only uses publicly available data. It is designed to support policy evaluations with very short-term schedules. ARTIMAS can also be tailored to answer more complex questions that require more regional, industry, and inter-temporal details.

Other customizations will also include:

  • U.S. state and/or global coverage
  • Dynamic economic modeling over a specified time horizon
  • A highly detailed representation of electricity generation and pollution abatement
  • Pairing with the RTI Electricity Analysis (RTI EMA) model, a dynamic linear programming model of U.S. wholesale electricity markets that our economists can run with ARTIMAS or independently.

RTI Applied Dynamic Analysis of the Global Economy (RTI ADAGE)

Recursive-dynamic

The RTI Applied Dynamic Analysis of the Global Economy (RTI ADAGE) model is a recursive dynamic, multi-region and multi-sector CGE model projecting the global/regional economy from 2010 to 2050 at 5-year time steps. The model uses the MPSGE framework, includes fossil fuel energy (coal, gas, oil, electricity), renewable energy (hydro, nuclear, wind, solar, bioenergy), highly detailed sectors on agriculture, bioenergy, land cover and land use change. With the capacity of modeling all greenhouse gas emission (GHG) (including emission from land use change), marginal abatement cost of GHG emissions, and mitigation options (carbon tax and cap-and-trade), the model is capable of examining the interactions among agriculture, energy, climate mitigation and performing public analysis for food, energy and environmental issues at both regional and global scope.

Forward-looking

The ADAGE model is the original perfect-foresight, dynamic CGE model capable of examining climate change mitigation and other energy policies.

Dynamic GTAP Model (GDyn-E-BIO)

A recursive dynamic version of Global Trade Policy Analysis (GTAP) CGE model developed at RTI, capable of examining agriculture, bioenergy, land usge change, climate change policies, international trade, and other environmental policies. GDyn-E-BIO model includes 25 global regions and 45 sectors consisting of highly disaggregated agriculture sector with 13 crops and crop-residue, 10 types of first- and second-generation biofuels, and Agro-Ecological Zonal (AEZ) classification of land use and land cover types. The model starts with a base year 2004, and is capable of projecting the global economy forward until 2050 with either annual or 5-year time steps.