Macro-economy - POLES

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Model Documentation - POLES

Corresponding documentation
Previous versions
Model information
Model link
Institution JRC - Joint Research Centre - European Commission (EC-JRC), Belgium,
Solution concept Partial equilibrium (price elastic demand)
Solution method SimulationRecursive simulation
Anticipation Myopic

The key marco-economic assumptions are derived from population and GDP.

Starting from historical data, which capture local specificities, sectoral economic activity variables are calculated:

  • sectoral value added: depend on the level of development of the country/region, given by GDP per capita (industrialization phase followed by service-based economy);
  • industrial physical production: depend on demand, which itself depends on the level of development;
  • mobility (for passengers and for goods): depend on the cost of transport compared to income, and is declined in equipment rates and degree of utilisation of this equipment;
  • buildings surfaces: depend on households size (occupancy per dwelling) and surface per dwelling, both depending on personal income.

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Share of value-added as a function of GDP per capita