Annex Description of the Variables and Parameters of the Dynamic CGE Model
Abbink, G. A., M. C. Braber, and S. I. Cohen. 1995. “A SAM-CGE Demonstration Model for Indonesia: A Static and Dynamic Specifications and Experiments.” International Economic Journal 9 (3): 15–33.
Bourguignon, F., W. H. Branson, and J. de Melo. 1989. “Macroeconomic Adjustment and Income Distribution: A Macro-Micro Simulation Model.” OECD Technical Paper 1. Paris.
Jung, H. S., and E. Thorbecke. 2003. “The Impact of Public Education Expenditure on Human Capital, Growth, and Poverty in Tanzania and Zambia: A General Equilibrium Approach.” Journal of Policy Modeling 25: 701–25.
Abbink et al (1995) use a sequential dynamic CGE model for Indonesia where total investment is distributed as a function of base year sectoral shares in total capital remuneration and sectoral profit rates.
The model is formulated as a system of non linear equations solved simultaneously as a constrained non-linear system (CNS) with GAMS/Conopt3 solver.