Damiaan Persyn, Jorge Diaz Lanchas (p), Javier Barbero Jimenez

Olga Ivanova

See extended abstract

Tomoki Ishikura (p), Hiroshi Yoshikawa, Fuga Yokoyama

Jorge Diaz Lanchas

Spatial computable general equilibrium (SCGE) model is a convenient tool for transport project appraisal. When the transport improvement project is implemented in metropolitan area, consideration of agglomeration externality is an important factor.

This paper builds a spatial computable general equilibrium model, TMUSE, based on Dixit-Stiglitz type monopolistic competition model, which features agglomeration effects explicitly. The model illustrates a specific region within a country. Thus net income transfer to rest of the country, as well as rest of the world, is explicitly treated. Calibration procedure is designed for detailed classified regions.

We apply the model to a circular expressway project in Tokyo Metropolitan Area. The area is divided into municipality level, namely over 400 subregions. Industrial sector is classified to 11 sectors. Benefit and changes in sectoral outputs and price system for each region are estimated quantitatively.

Olga Ivanova (p)

Tomoki Ishikura

The main goal of this paper is to describe the theoretically sound and to large extend econometrically estimated model of structural economic change that can be used for forecasting long-term growth patterns across EU regions and sectors (RTL-Growth model). The model includes besides EU regions also the main industrialized and upcoming countries of the rest of the world in order to be able to account for relocation of production activities and global nature of technological knowledge.

The model is based on the framework of fully endogenous economic growth where both knowledge generation and knowledge adoption are present and use elements of new economic geography and new trade literature on trade specialization and sectoral structure. To our knowledge there is no existing regional-theoretical modelling framework that can be used for the construction of such model that is why we can only rely on the theoretic literature that captures inter-country and inter-sectoral dimensions of the economic structural change.

RTL-Growth model is constructed as a part of the Horizon2020 MONROE project and hence it incorporates various channels through which we can model the R&I and other relevant policy such as human capital, industrial, cohesion policy. The use of the model can thus be seen as twofold: (1) create long-term scenarios with explicit sectoral and regional dimensions and (2) assist with evaluation of various R&I policy measures and policy packages.