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Computable General Equilibrium Modelling in Regional Science

  • Grant J. AllanEmail author
  • Patrizio Lecca
  • Peter G. McGregor
  • Stuart G. McIntyre
  • J. Kim Swales
Chapter
Part of the Advances in Spatial Science book series (ADVSPATIAL)

Abstract

Computable General Equilibrium (CGE) modelling has a long and distinguished history in regional science. In the past decade or so, improvements in computation have led to more elaborate and detailed CGE models being developed and used in a range of different policy areas. Against a backdrop of these advances, this chapter seeks to identify and review a number of areas where we see the potential for significant developments in CGE modelling in the years ahead. Specifically, we first consider potential improvements in computation, model specification and methodology, before looking in more detail at three areas where these models are used, or could be used, with a view to identifying avenues where model improvements would be valuable. These three areas are: urban and spatial modelling, model integration with other systems and models, and regional fiscal issues. CGE modelling has a bright future in regional science, but to remain at the forefront of economic research in regional science it must continue to adapt and evolve as, historically it has done, and we hope that the directions identified in this chapter are helpful to the future direction of this field.

Keywords

Public Spending Computable General Equilibrium Computable General Equilibrium Model Dynamic Stochastic General Equilibrium Dynamic Stochastic General Equilibrium Model 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Notes

Acknowledgements

The authors acknowledge funding from the ESRC under The Constitutional Future of Scotland and the United Kingdom pre and post Referendum Initiative (grant ES/L003325/1) and from ClimateXChange, the Scottish Government-funded Centre of Expertise in Climate Change. The authors are solely responsible for the content of the paper. The views expressed are purely those of the authors and may not in any circumstances be regarded as stating an official position of the European Commission or Scottish Government. The authors are grateful to the editors for comments on an earlier draft.

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Copyright information

© Springer International Publishing AG 2017

Authors and Affiliations

  • Grant J. Allan
    • 1
    Email author
  • Patrizio Lecca
    • 2
  • Peter G. McGregor
    • 1
  • Stuart G. McIntyre
    • 1
  • J. Kim Swales
    • 1
  1. 1.Fraser of Allander Institute and Department of Economics, Strathclyde Business SchoolUniversity of StrathclydeGlasgowUK
  2. 2.European Commission, DG Joint Research CentreSevilleSpain

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