This study builds Cambodia's social accounting matrix. Using a CGE-based simulation, it then assesses the impacts of Cambodia's tariff elimination on household welfare and the labour market. Our results show that tariff elimination leads to an expansion in production output and an increase in...

This supplementary material contains additional calculations and related explanations, including a table of logarithmically modified Laplace transform, and details of economic applications. The paper to which these Appendices apply is available at the following URL:...

We aim to assess the sectoral and poverty impacts of changes in agricultural policy in Colombia on the rural sector. For this we use an agriculture specialized static CGE model, together with a microsimulation model that allows employment to shift between sectors. The results indicate that the...

We present functional forms allowing a broader range of analytic solutions to common economic equilibrium problems. These can increase the realism of pen-and-paper solutions or speed large-scale numerical solutions as computational subroutines. We use the latter approach to build a tractable...

In this paper, we use a Micro-Macro model to evaluate the effects of a euro's depreciation on the French economy, both at the macro and micro level. Our Micro-Macro model consists of a Microsimulation model that includes an arithmetical model for the French fiscal system and two behavioral...

We study a generalized version of Coleman (1990)'s time iteration method (GTI) for solving dynamic optimization problems. Our benchmark framework is an irreversible investment model with labor-leisure choice. The GTI algorithm is simple to implement and provides advantages in terms of speed...

We consider the derivatives pricing problem in credit risk. By assessing a market price to the hedged risks and a Capital Asset Pricing Model price to the unhedged part, we derive a generalized pricing formula that nests both the classic “Capital Markets” and “Corporate Finance” models....

We introduce the market resources method (MRM) for solving dynamic optimization problems. MRM extends Carroll's (2006) endogenous grid point method (EGM) for problems with more than one control variable using policy function iteration. The MRM algorithm is simple to implement and provides...

The theoretical literature presumes generational risk is large enough to merit study and that such risk can be meaningfully shared via appropriate government policies. This paper assesses these propositions. It develops a computational technique to overcome the curse of dimensionality and...

This paper examines the properties of taxes applied in the road links of a polycentric network and their interaction with a spatially-invariant tax on labor income. With the use of a theoretical model, the total welfare change from a revenue-neutral swap between the tax in an arbitrary road link...