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Implementing Bilateral Tariff Rate Quotas In Gtap Using Gempack

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  • Elbehri, Aziz
  • Pearson, Ken

Abstract

xplicit modeling of tariff rate quotas (TRQs) is important in the current World Trade Organization negotiations. In order to do such modeling with GTAP, extra data is required and extra equations must be added to the model. This paper provides tools for assisting modelers to carry out explicit modeling of bilateral tariff rate quotas in GTAP using GEMPACK. The paper describes how the extra data for sugar TRQ applications was obtained and reconciled with the standard GTAP data. Supplied with the paper is a TABLO Input file TRQDATA.TAB which others can use for reconciling their TRQ data with the usual GTAP data. Supplied with the paper is a module which can be added to the standard TABLO Input files for GTAP. This module contains the extra equations required to model TRQs. Detailed hands-on examples are supplied with the paper, as is a TRQ application relating to a partial liberalization of sugar TRQ. Readers of the paper can replicate these applications. A windows interface TRQmate is supplied with the paper. This is a relatively general-purpose interface which automates the steps in carrying out TRQ applications with GTAP and GEMPACK. If you wish to carry out your own bilateral TRQ applications with GTAP and GEMPACK, the tools supplied with this paper will make it relatively straightforward for you to do so once you have collected the extra data you need.

Suggested Citation

  • Elbehri, Aziz & Pearson, Ken, 2000. "Implementing Bilateral Tariff Rate Quotas In Gtap Using Gempack," Technical Papers 28715, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugttp:28715
    DOI: 10.22004/ag.econ.28715
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    References listed on IDEAS

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    1. Harrison, W Jill & Pearson, K R, 1996. "Computing Solutions for Large General Equilibrium Models Using GEMPACK," Computational Economics, Springer;Society for Computational Economics, vol. 9(2), pages 83-127, May.
    2. Bach, Christian Friis & Ken Pearson, 1996. "Implementing Quotas in GTAP Using GEMPACK or How to Linearize an Inequality," GTAP Technical Papers 307, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
    3. Skully, David W., 1999. "The Economics Of Trq Administration," Working Papers 14584, International Agricultural Trade Research Consortium.
    4. Pearson, K, 1991. "Solving Nonlinear Economic Models Accurately Via a Linear Representation," Impact Project Archive 295068, Impact Research Centre, University of Melbourne.
    5. Philip C. Abbott & Philip L. Paarlberg, 1998. "Tariff rate quotas: structural and stability impacts in growing markets," Agricultural Economics, International Association of Agricultural Economists, vol. 19(3), pages 257-267, December.
    6. Hertel, Thomas, 1997. "Global Trade Analysis: Modeling and applications," GTAP Books, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, number 7685, December.
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