CFDP 837

Implementational Issues and Computational Performance Solving Applied General Equilibrium Models with SLCP

Author(s): 

Publication Date: May 1987

Pages: 34

Abstract: 

This paper reports on an implementation of Mathiesen’s sequential method for solving applied general equilibrium models. In this approach, the underlying nonlinear complementarity problem is solved by successive linearization. The paper discusses model formulation, implementation and performance. Several test problems and empirical models are used to evaluate efficiency and robustness.

Keywords: 

General equilibrium models, Algorithm, Numerical modeling

JEL Classification Codes:  213, 021, 214