# A General Equilibrium Model with Tax A general equilibrium model with tax. The model contains 5 types of commodities (i.e. prod1, prod2, labor, capital and tax payment receipts) and 5 agents (i.e. firm1, firm2, laborer, capital owner and government). ```r gemTax_5_5(...) ``` ## Arguments - `...`: arguments to be passed to the function sdm2. ## Examples ```r tax.rate.cap1 <- 0.25 tax.rate.lab1 <- 0.25 tax.rate.cap2 <- 0.25 tax.rate.lab2 <- 0.25 es.prod <- 0.5 es.cap.lab <- 0.5 beta.firm1 <- c(0.2, 0.8) beta.firm2 <- c(0.8, 0.2) beta.laborer <- c(0.5, 0.5) beta.capitalOwner <- c(0.5, 0.5) beta.government <- c(0.8, 0.2) dst.firm1 <- node_new("prod", type = "SCES", alpha = 1, beta = beta.firm1, es = es.cap.lab, "cc1", "cc2" ) node_set(dst.firm1, "cc1", type = "FIN", rate = c(1, tax.rate = tax.rate.lab1), "lab", "tax" ) node_set(dst.firm1, "cc2", type = "FIN", rate = c(1, tax.rate = tax.rate.cap1), "cap", "tax" ) node_plot(dst.firm1, TRUE) dst.firm2 <- node_new("prod", type = "SCES", alpha = 1, beta = beta.firm2, es = es.cap.lab, "cc1", "cc2" ) node_set(dst.firm2, "cc1", type = "FIN", rate = c(1, tax.rate = tax.rate.lab2), "lab", "tax" ) node_set(dst.firm2, "cc2", type = "FIN", rate = c(1, tax.rate = tax.rate.cap2), "cap", "tax" ) dst.laborer <- node_new("util", type = "SCES", alpha = 1, beta = beta.laborer, es = es.prod, "prod1", "prod2" ) dst.capitalOwner <- node_new("util", type = "SCES", alpha = 1, beta = beta.capitalOwner, es = es.prod, "prod1", "prod2" ) dst.government <- node_new("util", type = "SCES", alpha = 1, beta = beta.government, es = es.prod, "prod1", "prod2" ) ge <- sdm2( A = list(dst.firm1, dst.firm2, dst.laborer, dst.capitalOwner, dst.government), B = diag(c(1, 1, 0, 0, 0)), S0Exg = matrix(c( NA, NA, NA, NA, NA, NA, NA, NA, NA, NA, NA, NA, 100, NA, NA, NA, NA, NA, 100, NA, NA, NA, NA, NA, 100 ), 5, 5, TRUE), names.commodity = c("prod1", "prod2", "lab", "cap", "tax"), names.agent = c("firm1", "firm2", "laborer", "capitalOwner", "government"), numeraire = "lab" ) ge$p ge$z ge$D ge$S addmargins(ge$DV) addmargins(ge$SV) ```

gemTax_5_5 function