A Complementarity Formulation of Spatial Computable

General Equilibrium Models

 

  In this paper we apply a complementarity format to obtain a general form of 

SCGE model and to derive some characteristics of the model. Mathiesen's

complementarity formulation for computable general equilibrium (CGE) model is

extended to include interregional trade flows.  With these generalizations, the paper

may contribute to resolve the limitations of the recently developed SCGE framework.

Some remarks for the model may be summarized in terms of propositions.