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Designing Public Policies

An Approach Based on Multi-Criteria Analysis and Computable General Equilibrium Modeling

  • Book
  • © 2010

Overview

  • New approach of combining multi-criteria decision making (MCDM) with computable general equilibrium modelling
  • Pragmatic methods addressing policy making in a realistic and operational way
  • Didactic application to real situations
  • Taking into account economic and environmental issues
  • Includes supplementary material: sn.pub/extras

Part of the book series: Lecture Notes in Economics and Mathematical Systems (LNE, volume 642)

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Table of contents (10 chapters)

Keywords

About this book

This monograph provides a novel approach to the evaluation of economic policy by combining two different analytical strategies. On the one hand, the computable general equilibrium (CGE) analysis, a standard tool mostly used to quantify the impact of economic measures or changes in the structural data of the economy. On the other hand, the multiple criteria decision-making (MCDM) approach, an op- misation technique that deals with problems with more than one objective. Ty- cally, CGE is well suited for the analysis of the interactions of multiple agents from the point of view of a planner single objective. Combining this technique with the MCDM approach allows developing models in which we ?nd many interacting agents and a decision maker with several objectives. The contribution of this work is partly methodological and partly applied. It provides a framework for the analysis of this type of problems, as well as a series of applications in which the strength of the approach is made clear. The consideration of environmental problems, as a speci?c ?eld in which this technique of analysis can be used, is particularly well chosen. The environmental concern keeps growing steadily and has already become an issue in most of the standard economic decisions. It is therefore extremely important to ?nd systematic ways to introduce such a concern in the models with which we evaluate the impact of policy measures.

Authors and Affiliations

  • , Department of Economics, Universidad Pablo de Olavide, Sevilla, Spain

    Francisco J. André, M. Alejandro Cardenete

  • , Research Group:, Technical University of Madrid, Madrid, Spain

    Carlos Romero

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