GEM-E3 model documentation
The main purpose of this publication is to provide extensive documentation of the GEM-E3 model‘s equations and its underlying databases, in order to offer to the broader audience an accurate description of the model characteristics.
GEM-E3 is a recursive dynamic computable general equilibrium model that covers the interactions between the economy, the energy system and the environment. It is especially designed to evaluate environmental policies (in particular GHG emission reduction policies). GEM-E3 can evaluate consistently the distributional effects of policies for the various economic sectors and agents across the countries.
The aim of this paper is not only to describe the main model features with the purpose of gaining transparency and credibility, but also the search for feedback and open discussion on the model’s key formulation and main assumptions.