| CES_mA {CGE} | R Documentation |
CES Monetary Demand Coefficient Matrix
Description
This function computes a CES monetary demand coefficient matrix in a monetary economy.
Usage
CES_mA(sigma, alpha, Beta, p, Theta = NULL)
Arguments
sigma |
a numeric m-vector or m-by-1 matrix. |
alpha |
a nonnegative numeric m-vector or m-by-1 matrix. |
Beta |
a nonnegative numeric n-by-m matrix whose each column sum equals 1. |
p |
a nonnegative numeric n-vector or n-by-1 matrix. |
Theta |
null or a positive numeric n-by-m matrix. |
Details
Some elements of Beta corresponding to money equal -1.
Value
A n-by-m matrix is computed which indicates the (monetary) demand structure of agents (firms or consumers) with CES production functions or utility functions under the price vector p.
Author(s)
LI Wu <liwu@staff.shu.edu.cn>
References
LI Wu (2019, ISBN: 9787521804225) General Equilibrium and Structural Dynamics: Perspectives of New Structural Economics. Beijing: Economic Science Press. (In Chinese)
Examples
alpha <- matrix(1, 6, 1)
Beta <- matrix(c(
0, 1, 1, 0, 1, 1,
0.5, 0, 0, 0, 0, 0,
-1, -1, -1, 0, 0, 0,
0.5, 0, 0, 0.5, 0, 0,
0, 0, 0, 0.5, 0, 0,
0, 0, 0, -1, -1, -1
), 6, 6, TRUE)
p <- c(1, 2, 0.1, 4, 5, 0.1)
CES_mA(rep(-1, 6), alpha, Beta, p)