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Extending the GTAP framework for public procurement analysis

Author

Listed:
  • Aguiar, Angel
  • Caitlyn Carrico
  • Thomas Hertel
  • Zekarias Hussein
  • Robert McDougall
  • Badri Narayanan

Abstract

This paper extends the GTAP framework to aid in the analysis of changes to public procurement policies. In terms of data developments, government investment demand data is estimated for each of the 57 GTAP Commodities in the 140 regions of version 9. In addition, the origin of imports by end use (i.e., for firms, private consumption, government consumption, and investment) is determined following the recent literature. Another layer of valuation is also introduced, which captures the preferences towards domestic production. In terms of model extensions, there is a new nest in the production structure that allows for different procurement regimes, and the origin of imports by agents’ end use is incorporated. We illustrate this framework by simulating the impact of a hypothetical reduction in the domestic preference in one of the newly introduced procurement regimes. Future work should focus on estimation of these domestic preference margins.

Suggested Citation

  • Aguiar, Angel & Caitlyn Carrico & Thomas Hertel & Zekarias Hussein & Robert McDougall & Badri Narayanan, 2016. "Extending the GTAP framework for public procurement analysis," GTAP Working Papers 5146, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
    • Handle: RePEc:gta:workpp:5146
    Note: GTAP Working Paper No. 82
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    File URL: https://www.gtap.agecon.purdue.edu/resources/res_display.asp?RecordID=5146
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    Cited by:

    1. Antimiani, Alessandro & Fusacchia, Ilaria & Salvatici, Luca, 2017. "An integrated tool for GVCs analysis through the GTAP model," Conference papers 332834, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    2. Alessandro Antimiani & Luca Salvatici & Ilaria Fusacchia, 2018. "GTAP-VA: An Integrated Tool for Global Value Chain Analysis," Journal of Global Economic Analysis, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, vol. 3(2), pages 69-105, December.
    3. Ilaria Fusacchia & Jean Balié & Luca Salvatici, 2022. "The AfCFTA impact on agricultural and food trade: a value added perspective," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 49(1), pages 237-284.
    4. Caitlyn Carrico, 2017. "An Enhanced Analytical Framework for Evaluating the Effects of Trade Costs along Global Value Chains," Journal of Global Economic Analysis, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, vol. 2(2), pages 43-111, December.
    5. Antimiani, Alessandro & Fusacchia, Ilaria & Salvatici, Luca, 2016. "Value Added Trade Restrictiveness Indexes. Measuring Protection with Global Value Chains," Conference papers 332745, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    6. V. Makarov L. & A. Bakhtizin R. & B. Khabriev R. & В. Макаров Л. & А. Бахтизин Р. & Б. Хабриев Р., 2018. "Оценка эффективности механизмов укрепления государственного суверенитета России // Performance Evaluation of the Mechanisms Strengthening the State Sovereignty of Russia," Финансы: теория и практика/Finance: Theory and Practice // Finance: Theory and Practice, ФГОБУВО Финансовый университет при Правительстве Российской Федерации // Financial University under The Government of Russian Federation, vol. 22(5), pages 6-26.
    7. Ilaria Fusacchia & Alessandro Antimiani & Luca Salvatici, 2021. "An assessment of import tariff costs for Italian exporting firms," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 38(1), pages 31-56, April.
    8. Dengler, Benedikt, 2018. "The WTO Government Procurement Agreement as a Commitment Device: A First Appraisal," CEPR Discussion Papers 13266, C.E.P.R. Discussion Papers.

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