Constructing a CGE Model for Economic and Environmental Policies in Makassar City
Our study introduces a standard structure of CGE model that conforms to a basic of the Walrasian equilibrium to perform a joint analysis of economic and environmental policies; moreover, the model incorporates information about both the key economic variables and the environmental impact of economic activity. Taxes and government activity are taken to be exogenous for households and industries, whereas they are considered as decision variables for the government.
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