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Concept
CAPRI is a partial equilibrium model for the agricultural sector developed for policy impact assessment of the Common Agricultural Policy and trade policies from global to regional scale with a focus on the EU. Main features:
Comparative partial static equilibrium model, solved by iterating supply and market modules
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. Template approach with structurally identical models which differ in parametrization. Cover completely EU agriculture (280 regional models or 1.900 farm type models)
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Market module: global spatial multi-commodity Model.
28 trade blocks and 60 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
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Spatial downscaling of crop shares, yields, stocking densities, fertilizer application rates to 150.000 Homogenous Soil Mapping Units (cluster of 1×1 km grid cells) for EU27 and link to bio-physical model DNDC
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