Model concept, solver and details - AIM-CGE

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Model Documentation - AIM-CGE
Corresponding documentation
Model information
Institution National Institute for Environmental Studies (NIES), Japan, .
Solution concept General Equilibrium

with technology explicit modules in power sectors

Solution method Solving a mixed complementarity problem
Anticipation Myopic

The AIM/CGE model was developed to analyze the future climate change mitigation and its impact on economic conditions. AIM/CGE is classified as a computable general equilibrium model, which covers all economic goods while considering production factor interactions. The trade of goods and services is also considered.

To meet this objective, the energy system is disaggregated into energy supply and demand sides. Agricultural sectors are also disaggregated for appropriate land-use treatment. The model is designed to have the flexibility for use at global and individual country scales.

The model is implemented for GAMS/MCP (Mixed Complementarity Problem), and PATH is used as a solver. The model is a dynamic recursive model using a 1-year time step. The simplified climate component is connected through soft links using MAGICC6. The CGE model itself has no feedback from the climate component.