NIFK14018U Applied General Equilibrium Analysis
This course will introduce students to general equilibrium modeling. Computable general equilibrium models (CGE) are widely used around the world within academia, consulting, international and national institutions and NGOs. CGE models are used to study the allocational and distributional effects of economic policies and the economic implications of economic shocks. Such models simulate a market economy in which prices or quantities adjust to clear markets. From a mathematical viewpoint CGE models consist of a system of nonlinear simultaneous equations that represent the constrained optimizing behavior of economic actors.
The course aims at providing the student basic knowledge of and ability to use computable general equilibrium models. Through a mix of lectures and exercises within the fields of general modeling and themes within agricultural, environmental and development economics the course will develop the student's skills to conduct own empirical analysis.
The course aims at imparting to the students a thorough
understanding of CGE modeling, how these model are use in policy
and the ability to undertake own model simulation. After completing
the course it is expected that the student is able to:
- Reflect about strength and weaknesses’ of the AGE method
- Reflect about the theory behind most AGE models
- Reflect about the importance of the data used in AGE models
- Formulate and run scenarios using a CGE model.
- Interpret model result.
- Understand the basic step in using CGE model.
- Understand model results and its dependence of theory and data used.
- Undertake a critical view on existing CGE work.
Will be announced at the beginning of the course on Absalon
- Basic microeconomics: Production Economics and consumer behavior
- An understanding of key national accounts concepts
- Project work
- 7,5 ECTS
- Type of assessment
- Oral examination, 20 minutesThe oral exam is based on the written report from the students own selected project. The project work can be done in groups but the oral exam is individual.
Oral examination, 20 minutes
- Exam registration requirements
- A written report should be handed in due time
- Written aids allowed
- Marking scale
- 7-point grading scale
- Censorship form
- No external censorship
More than one internal examiner
- Oral exam based on the written report from the students own selected project
Criteria for exam assesment
See the Learning Outcomes