Bernard Decaluwé, André Lemelin, Hélène Maisonnave, Véronique Robichaud

The PEP-1-t model follows the PEP-1-1 single-country, single-period model. It is a recursive dynamic model, the second research tool of the Standard PEP Model project that emerged spontaneously from the 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-1-t is one step towards a deepening of our understanding of CGE analysis and the development modeling techniques that will tackle new problems.

We nonetheless persist in wanting to remain in the realm of operational model building. In that respect, we are fortunate that three members of the team have been involved in a Unicef-Financial and Fiscal Commission project set up to analyse the impact of the crisis on child poverty in South Africa. This was an opportunity to apply a version of PEP-1-t adapted to the South African context and the project objectives. The adapted model was subjected to extensive maltreatment; that flushed out a few bugs which we promptly corrected. In the end, all were quite happy with the model’s performance.

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: andre_lemelin@ucs.inrs.ca