Modular Applied GeNeral Equilibrium Tool

This economic simulation model, as a contribution to this impact assessment process, can provide insights into the effects of different policy scenarios on international trade and competitiveness.

The model is designed to conduct policy experiments, in which a reference scenario or baseline is first simulated over a future period and then, after changing one or more underlying assumptions (all kind of police instruments, tax, tariffs...), a new scenario incorporating these changes is run, also over the same time period. Comparison of the new scenario with the reference scenario at a given point in the simulation period, usually in terms of percentage differences, establishes the direction and relative magnitude of the impacts on all the endogenous variables of the change that is depicted in the hypothetical scenario at that point in time.