PRICE-LINKED FARM AND SPATIAL EQUILIBRIUM MODELS

Spatial Price Equilibrium

Price Equilibrium for Infinite Horizon Economic Models

The paper analyzes one-sector models of general equilibrium over an infinite time horizon in which there are an infinite number of agents, these being the members of successive generations. It is argued that such models are more realistic than the customary equilibrium models with finitely many agents. Three aspects of these models are then examined including: (1) non-optimalities in the form o...

Formulation and Analysis of a Dynamic Spatial Price Equilibrium Model

The spatial price equilibrium model begins with the Hitchcock-Koopmans transportation problem as described by Dantzig (1963). The data for this model includes a set of suppliers I and a set of markets J , with supplies ai, demands bj, transport costs cij from supplier i to market j. Cast as a planning problem, this linear program seeks a transport schedule which minimizes the cost of supplying ...

Spatial Equilibrium Models with Gams

This document gives a short introduction into Spatial Equilibrium modeling with GAMS. 1. Intertemporal-Spatial Price Equilibrium Solving spatial equilibrium models by mathematical programming is pioneered by [9],[12], [11], and [13]. One of the most basic forms is the transportation problem, also known as the “Koopmans-Hitchcock” model. An example is found in the GAMS model library in trnsport....

Massively parallel computation of large-scale spatial price equilibrium models with discriminatory ad valorem tariffs

In this paper, we develop a perfectly competitive spatial equilibrium model in price and quantity variables in the presence of discriminatory ad valorem tariffs, a widely used trade policy instrument. We derive the equilibrium conditions and formulate them as a variational inequality problem. An algorithm is then proposed for the computation of the equilibrium pattern and convergence results es...