GTAP

GTAP, short for Global Trade Analysis Project, is a collaborative research initiative that provides a global database and a computable general equilibrium (CGE) model for economic-policy analysis. It brings together researchers from universities, government agencies, and international organizations to study how economies respond to policy changes, shocks, and structural reforms.

The GTAP Data Base comprises a worldwide, region-by-sector representation of production, consumption, trade, and policy instruments. Data are drawn from national accounts, trade statistics, energy balances, and tariff schedules, then harmonized into a consistent framework suitable for comparative analysis. The database is updated periodically to reflect new information and methodological improvements.

The GTAP model is a CGE model that uses this data base to simulate economy-wide adjustments across regions and sectors. It tracks prices, production, consumption, trade flows, and welfare outcomes under specified policy scenarios, allowing users to impose shocks such as tariff reductions, emissions policies, or technology changes.

Common applications include analysis of trade agreements, tariff reforms, climate and energy policies, agricultural and development interventions, and regional integration. The model supports scenario comparison, sensitivity analysis, and policy evaluation in a global context.

GTAP is coordinated by the GTAP Center at Purdue University, with governance and user support provided through a community of researchers. Access to the data base and model, along with documentation and training materials, is available to researchers under a license.

Limitations include reliance on economic theory assumptions and data quality, which can influence results. GTAP-based analyses should be interpreted as policy scenarios rather than precise forecasts.