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“On the Marginal Cost of Public Funds for Argentina: CGE Evaluation and Sensitivity to Regulatory Regimes”

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Author Info

  • Chisari, Omar O.

    ()
    (Universidad Argntina de la Empresa)

  • Cicowiez, Martín

    (Universidad Argntina de la Empresa)

Abstract

We estimate the Marginal Cost of Public Funds for Argentina using a computable general equilibrium (CGE) model, assessing the sensitivity of the results to the existence of alternative regulatory regimes (Price-Cap and Cost-Plus) for public utilities subject to regulation. Although the estimates are in the range of international studies, we find that the results are sensitive to the regulatory regime, to the presence of exempted goods, the existence of unemployment, the value of the elasticity of labor supply, as well as to the degree of capital mobility, between sectors and internationally.

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Bibliographic Info

Paper provided by Instituto de Economía, Universidad Argentina de la Empresa in its series UADE Working Papers with number 25_2008.

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Length: 52 pages
Date of creation: 01 May 2008
Date of revision:
Handle: RePEc:ris:uadewp:2008_025

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Web page: http://www.uade.edu.ar/paginas/InstEconomiaIDE.aspx
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Keywords: computable general equilibrium; Public Funds; Marginal Cost;

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