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SinoTERM, a multi-regional CGE model of China

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  • Horridge, Mark
  • Wittwer, Glyn

Abstract

The paper outlines the theory and database preparation of SinoTERM, a "bottom-up" computable general equilibrium model of the Chinese economy. The methodology by which we construct the multi-regional model allows us to present the economy of China in an unprecedented amount of detail. SinoTERM covers all 31 provinces and municipalities. The database of the model extends the published national input-output table for 2002 to 137 sectors. The single crops sector in the published national input-output table is split into 11 and the single livestock sector into three. The multi-regional CGE model provides a framework that we could modify to apply to many different policy applications. We can use SinoTERM to analyse the regional economic impacts of region-specific shocks. Such shocks could major construction projects or investments in health and education sectors, in an effort to accelerate economic growth in the lagging inland provinces. We use a 63 sector, 10 region aggregation of the SinoTERM master database to model the regional economic impacts of the construction of the Chongqing-Lichuan rail link.

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Bibliographic Info

Article provided by Elsevier in its journal China Economic Review.

Volume (Year): 19 (2008)
Issue (Month): 4 (December)
Pages: 628-634

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Handle: RePEc:eee:chieco:v:19:y:2008:i:4:p:628-634

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Web page: http://www.elsevier.com/locate/chieco

Related research

Keywords: CGE modeling Regional modeling Construction projects;

References

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  1. Kanbur, Ravi & Zhang, Xiaobo, 2003. "Spatial Inequality in Education and Health Care in China," CEPR Discussion Papers 4136, C.E.P.R. Discussion Papers.
  2. Wittwer, Glyn & Vere, David T. & Jones, Randall E. & Griffith, Garry R., 2005. "Dynamic general equilibrium analysis of improved weed management in Australia's winter cropping systems," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 49(4), December.
  3. Fan, Shenggen & Zhang, Xiaobo, 2004. "Infrastructure and regional economic development in rural China," China Economic Review, Elsevier, vol. 15(2), pages 203-214.
  4. Heckman, James J, 2003. "China's Investment in Human Capital," Economic Development and Cultural Change, University of Chicago Press, vol. 51(4), pages 795-804, July.
  5. Philip D. Adams & Mark Horridge & Glyn Wittwer, 2003. "MMRF-GREEN: A Dynamic Multi-Regional Applied General Equilibrium Model of the Australian Economy, Based on the MMR and MONASH Models," Centre of Policy Studies/IMPACT Centre Working Papers g-140, Victoria University, Centre of Policy Studies/IMPACT Centre.
  6. Sylvie Demurger & Jeffrey D. Sachs & Wing Thye Woo & Shuming Bao, Gene Chang & Andrew Mellinger, 2002. "Geography, Economic Policy, and Regional Development in China," NBER Working Papers 8897, National Bureau of Economic Research, Inc.
  7. Mark Horridge & John Madden & Glyn Wittwer, 2003. "Using a highly disaggregated multi-regional single-country model to analyse the impacts of the 2002-03 drought on Australia," Centre of Policy Studies/IMPACT Centre Working Papers g-141, Victoria University, Centre of Policy Studies/IMPACT Centre.
  8. Yang, Dennis Tao, 2002. "What has caused regional inequality in China?," China Economic Review, Elsevier, vol. 13(4), pages 331-334, December.
  9. Liu, Tung & Li, Kui-Wai, 2006. "Disparity in factor contributions between coastal and inner provinces in post-reform China," China Economic Review, Elsevier, vol. 17(4), pages 449-470.
  10. Warwick J. McKibbin, 2006. "Global Energy and Environmental Impacts of an Expanding China," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 14(4), pages 38-56.
  11. Chang, Gene H., 2002. "The cause and cure of China's widening income disparity," China Economic Review, Elsevier, vol. 13(4), pages 335-340, December.
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Citations

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Cited by:
  1. Anping Chen & Nicolaas Groenewold, 2011. "Regional Equality and National Development in China: Is There a Trade‐Off?," Growth and Change, Gatton College of Business and Economics, University of Kentucky, vol. 42(4), pages 628-669, December.
  2. Shiwei Xu & Yumei Zhang & Xinshen Diao & Kevin Z. Chen, 2011. "Impacts of agricultural public spending on Chinese food economy: A general equilibrium approach," China Agricultural Economic Review, Emerald Group Publishing, vol. 3(4), pages 518-534, November.
  3. Hiroshi SAKAMOTO, 2012. "CGE Analysis of Transportation Cost and Regional Economy: East Asia and Northern Kyushu," Regional Science Inquiry, Hellenic Association of Regional Scientists, vol. 0(1), pages 121-140, June.
  4. Gomes Pereira, Matheus Wemerson & Teixeira, Erly Cardoso & Raszap-Skorbiansky, Sharon, 2010. "Impacts of the Doha Round on Brazilian, Chinese and Indian agribusiness," China Economic Review, Elsevier, vol. 21(2), pages 256-271, June.
  5. Zhang, Da & Rausch, Sebastian & Karplus, Valerie J. & Zhang, Xiliang, 2013. "Quantifying regional economic impacts of CO2 intensity targets in China," Energy Economics, Elsevier, vol. 40(C), pages 687-701.
  6. Jingliang Xiao & Glyn Wittwer, 2009. "Will an Appreciation of the Renminbi Rebalance the Global Economy? A Dynamic Financial CGE Analysis," Centre of Policy Studies/IMPACT Centre Working Papers g-192, Victoria University, Centre of Policy Studies/IMPACT Centre.
  7. Alvaro Calzadilla & Katrin Rehdanz & Richard S.J. Tol, 2011. "The GTAP-W model: accounting for water use in agriculture," Kiel Working Papers 1745, Kiel Institute for the World Economy.
  8. Da ZHANG & Sebastian Rausch & Valerie Karplus & Tianyu Qi & Xiliang Zhang, 2012. "Regional impact of emission reduction target allocation in China," EcoMod2012 4243, EcoMod.
  9. Diao, Xinshen & Zhang, Yumei & Chen, Kevin Z., 2012. "The global recession and China's stimulus package: A general equilibrium assessment of country level impacts," China Economic Review, Elsevier, vol. 23(1), pages 1-17.

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