The CAPRI agricultural model
Objective
The CAPRI model simulates the response of the European agricultural system towards a range of policy interventions
Model characteristics
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Global agricultural sector model with focus on EU27 and Norway
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Supply module (EU27+Norway): covering about 250 regions (NUTS 2 level) or even up to six farm types for each region (in total 1000 farm-regional models)
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Market module: spatial, global multi-commodity model for agricultural products, 40 product, 40 countries in 18 trade blocks
- Objective: to evaluate regional and aggregate impacts of the CAP and trade policies on production, income, markets, trade, and the environment
Typical features and results
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Comparative static equilibrium model, solved by iterating supply and market modules
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Supply module: separate, regional, non-linear programming models allowing to directly implement most policy measures with highly differentiated set of activities; Allocation based on profit maximising behaviour calibrated to exogeneous elasticities (animals) and estimated multi-product cost functions (annual crops); provision of nutrient balances and gas emissions with global warming potential based on production system
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Market module: Global Spatial Multi-Commodity Model; 18 trade blocks (EU15,EU10,Norway,Bulgaria & Romania,Rest of Europe,Mediterrean Countries,USA,Canada,Mexico,MeroSur,Rest of South America,Japan,China,India, Australia & New Zealand,Least Developped Countries,African Carribean and Pacific countries under the Cotonou Agreement which are not LDCs, Rest of World); EU15,EU10,Bulgaria & Romania, MercoSur and Mediterrean trade blocks broken down to individual countries; flexible and well-behaved functional forms; Armington assumption to model bi-lateral trade flows; Tariff Rate Quotas and preferential agreements; subsidised exports and market interventions;
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Equilibrium ensures cleared markets for products and young animals, match of feeding requirements of national herds
- Welfare analysis; environmental indicators
Data sources
- Livestock statistics from EUROSTAT
Input from other EC4MACS models
- Projetions of economic activity and market prices (from the GEM-E3 model)
- Demand for bio-fuels from PRIMES
Output to other EC4MACS models
- Projections of livestock numbers (to the GAINS model)
Developed by
University of Bonn