This paper documents the PEP-w-1 model developed by four members of the PEP research network. The PEP-w-1 model extends the PEP-1-1 single-country, single-period model to a worldwide multiregional model. It is the third research tool of the Standard PEP Model project that emerged spontaneously from the friendship and long-standing association between the co-authors. With this model, we pursue the goals that we had initially set ourselves: to crystallize our joint CGE modeling experience, and to share the result with the PEP MPIA Network, and with the modeling community at large. In addition, PEP-w-1 is another step towards a deepening of our understanding of CGE analysis and the development modeling techniques that will tackle new problems. In a sense, however, PEP-w-1 is a transitional model, a stepping stone towards the recursive dynamic PEP-w-t, and its successor PEP-w-t-fin, with international financial assets.
NEW VERSION! Version 4.0 replaces version 3.3. Changes from the previous version are considerable. First of all, PEP-w-1 version 4.0 uses the GTAP 8.1 database, whereas version 3.3 used GTAP 7. Other significant modifications include changes in the model itself and changes in the parametrization procedure. In several instances, formulations in the GAMS code were also altered to clarify, uniformize and streamline the code. The interested user will find details in the “What’s new in version 4.0?” section of PEP-w-1 v4.0.pdf below.
The authors wish to thank the Global Trade Analysis Project (GTAP: www.gtap.agecon.purdue.edu) for granting us permission to distribute our 14 region, 4 industry aggregation of the GTAP 8.1 data base. As usual, we have tried to eliminate as many errors and « misprints » as possible in this document. Needless to say, we welcome comments that will help us improve either the model or its presentation.
Readers are invited to send their comments to André Lemelin at the following address: firstname.lastname@example.org
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In this file you will find a complete technical description of the PEP w-t model
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This file contains the data, the GAMS code as well as the documentation for the PEP w-1 model. We have also added a PDF document on how to create input files for DATA_AGG. This note contains a description of the steps that precede data aggregation using the DATA_AGG.gms program. It is intended for users who have a GTAP licence and would like to use the PEP-w-* models with their own aggregation.