The IMAGE CGE Model: Understanding the Model Structure, Code and Solution Methods

This working paper details the structure, code and solution methods for IMAGE, which is an acronym of "Irish Model of Agriculture, General Equilibrium". The IMAGE model is based on the widely known ORANI model (Dixon et al. 1982) of the Australian economy. The model has a theoretical structure that is typical of many CGE (Computable General Equilibrium) models. It is a static model, as it does not have any mechanism for the accumulation of capital. It is based entirely on the assumption of perfect competition, with no individual buyer or seller being able to influence price. Demand and supply equations are derived from the solution of optimisation problems (e.g. profit or utility maximization) for private sector agents. The model allows for multiple household types, export destinations, land types and labour occupations.

COPPER CRISIS AND AGRICULTURAL RENAISSANCE IN ZAMBIA: AN ECONOMY-WIDE ANALYSIS

Zambia's strong dependence on copper exports has suppressed other tradables sectors, indicative of a Dutch disease phenomenon. The current copper crisis will have strong economic effects, possibly reversing such Dutch disease effects. We use a computable general equilibrium model built around a 1995 social accounting matrix to simulate the short- and long-run effects of two scenarios that reflect the current crisis, a 20 percent reduction in world copper prices and a complete collapse of copper mining. Compared to the short run, the long run is characterized by more flexibility in production technology and capital allocation. Both scenarios require a significant reduction in the "non-copper" trade deficit, absorption, and household consumption. The strongest effects occur under the short-run mining-collapse scenario where household consumption falls by 13 percent and the real exchange rate depreciates by 42 percent. In the long run, these effects are approximately half as strong. The short- and long-run impacts of a 20 percent fall in world copper prices include a cut in household consumption by 4-5 percent and real depreciation by 7-10 percent. For all scenarios, the welfare losses for rural households are below the national average. Given that per-capita consumption is lower in rural areas, inequality falls. This distributional outcome is driven by the fact that the agro-food-fiber complex, which produces outputs that are relatively tradable, expands relative to the rest of the economy in terms of value-added, employment, and exports, suggesting that the copper crisis may induce an agricultural renaissance.Zambia, copper, structural adjustment, agriculture, general equilibrium, International Development, C68, O55, Q17, Q32,

Institutions for adaptation: the capacity and ability of the Dutch institutional framework to adapt to climate change

The climate is not the only aspect in this world that is changing. We notice a number of societal trends – a shift towards individual responsibility to receive rain water on private property and to encourage individuals to seek insurance rather than depend on a safety net to be provided by the government; increasing pressure on rural land use because of urbanisation processes, together with development to combine land use functions; decisions to develop large scale housing projects that do not take into account the potential impact of climate change; and, inter alia, the development of innovative solutions such as floating houses and brackish agriculture. We also notice the development of new organizational arrangements, such as multilevel agreements between policy actors, a more horizontal approach to land use planning, and a shift form national to European nature policies. Obviously, the system we will try to study is a moving target, and the theoretical framework we use will have to be able to deal with thi

The nature and trends of agricultural research development in Africa : an informetric study

The study recognizes Agriculture as the mainstay activity of most economies in Africa and analyses research nature and trends in the discipline by using descriptive informetrics and focusing on seven indicators, by using the AGRICOLA and ISI-E databases from 1991 to 2005. We observed that research output in the discipline is much higher in South Africa and Kenya, and research collaboration is greater than non-collaborative research output and collaboration is less among African countries. The most popular research domains were found to exist in environmental science, soil science, plant/crop production and [agricultural] economics. Helpful conclusions and recommendations for an Agricultural policy, capacity and research orientation have been made

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