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Development of a Large-scale Single US Region CGE Model using IMPLAN Data: A Los Angeles County Example with a Productivity Shock Application

Listed author(s):
  • James Andrew Giesecke

This paper details the construction of a large-scale computable general equilibrium (CGE) model for a single US region. The model contains a detailed treatment of margins and taxes, features not typically given prominence in US regional CGE models. The starting point for the core of the CGE model's data base is information from IMPLAN, producers of regional I/O data at the US county and state levels. IMPLAN's I/O tables, however, are in producer prices with aggregated treatment of margins and taxes. The methods for reconfiguring the I/O data into basic price flows with direct allocation of imports and a disaggregated treatment of taxes and margins are described. The method is applied to construction of a Los Angeles County model. An illustrative simulation of a productivity improvement in the Los Angeles County economy is then discussed. Développement d'un modèle GCE (modèle d’équilibre général) à grande échelle pour une région unique des États-Unis, à l'aide de données IMPLAN: un exemple dans le comté de Los Angeles avec une application à choc de productivité R ésumé La présente communication illustre en détail la construction d'un modèle informatisé d’équilibre général (GCE) pour une région unique des États-Unis. Ce modèle contient un traitement détaillé de marges et taxes, des aspects auxquels on n'accorde généralement pas une importance prédominante dans les modèles GCE régionaux aux États-Unis. Le point de départ pour la partie essentielle de la base de données du modèle CGE se situe au niveau des informations provenant d'IMPLAN, des producteurs de données d'Entrée/Sortie régionaux à l’échelon du comté et de l’état, aux États-Unis. Toutefois, les tableaux d'entrée/sortie d'IMPLAN portent sur des prix de producteur avec traitement agrégé des marges et des taxes. Les méthodes de reconfiguration des données d'E/S dans des flux de prix de base, avec affectation directe des importations, et un traitement désagrégé de taxes et marges, sont décrits. La méthode est appliquée à la construction d'un modèle du comté de Los Angeles. Une simulation illustrative d'un renforcement de la productivité est ensuite discutée. Desarrollo de un modelo CGE a gran escala para una región estadounidense única utilizando datos IMPLAN: un ejemplo de Los Angeles County con una aplicación de choques de productividad E xtracto Este trabajo detalla la construcción de un equilibro general computable (CGE) a gran escala para una sola región estadounidense. El modelo contiene un tratamiento detallado de márgenes e impuestos, características que típicamente no reciben prominencia en los modelos CGE regionales estadounidenses. El punto inicial para el núcleo de la base de datos del modelo CGE es información procedente de IMPLAN, productores de datos I/O (input--output) regionales a los niveles de condado y estado estadounidenses. No obstante, las tablas I/O de IMPLAN aparecen en precios de productores con tratamiento agregado de márgenes e impuestos. Se describen los métodos para reconfigurar los datos I/O en flujos de precios básicos con asignación directa de importaciones y un tratamiento desagregado de impuestos y márgenes. El método se aplica a la construcción de un modelo de Los Angeles County. Seguidamente, se discute una simulación ilustrativa de la mejora de productividad en la economía de Los Angeles County.

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Article provided by Taylor & Francis Journals in its journal Spatial Economic Analysis.

Volume (Year): 6 (2011)
Issue (Month): 3 (April)
Pages: 331-350

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Handle: RePEc:taf:specan:v:6:y:2011:i:3:p:331-350
DOI: 10.1080/17421772.2011.586722
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  1. Kym Anderson & James Giesecke & Ernesto Valenzuela, 2010. "How would global trade liberalization affect rural and regional incomes in Australia?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(4), pages 389-406, October.
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