The GLOBE model is in the tradition of multi-country, trade-focused, computable
general equilibrium (CGE) models developed to analyse the impact of global
trade negotiations and regional trade agreements.1
The dynamized version of
GLOBE used in the present study is based at the Institute of Development
Studies (IDS) at the University of Sussex. The model consists of a set of
individual country or region models that provide complete coverage of the global
economy and are linked through international trade in a multi-region model
system. It solves the within-country models and between-country trade
relationships simultaneously. The country models simulate the operation of factor
and commodity markets, solving for wages, land rent, profits, and commodity
prices that achieve supply–demand balance in all markets. Each country
engages in international trade, supplying exports and demanding imports. The
model determines world prices that achieve supply–demand balance in all global
commodity markets, simulating the operation of world markets.
The GLOBE model is in the tradition of multi-country, trade-focused, computable general equilibrium (CGE) models developed to analyse the impact of global trade negotiations and regional trade agreements.1 The dynamized version of GLOBE used in the present study is based at the Institute of Development Studies (IDS) at the University of Sussex. The model consists of a set of individual country or region models that provide complete coverage of the global economy and are linked through international trade in a multi-region model system. It solves the within-country models and between-country trade relationships simultaneously. The country models simulate the operation of factor and commodity markets, solving for wages, land rent, profits, and commodity prices that achieve supply–demand balance in all markets. Each country engages in international trade, supplying exports and demanding imports. The model determines world prices that achieve supply–demand balance in all global commodity markets, simulating the operation of world markets.
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