Simulation Models for Policy Evaluation

2008

The aim of this project is to develop evaluation methodologies (tool boxes) that can be used on the frontlines of the policy-making process. Specifically, we aim to assess the benefits and costs of each policy option, by using small-scale microeconomic models that are understandable, actionable, and facilitate the policy-making process. During fiscal 2008 the project will primarily focus on countermeasures to global warming and the Japanese-style electric power market liberalization. Regarding countermeasures to global warming, we will analyze the effects of such policies in the consumer sector and other designated fields. Regarding the liberalization of the electric power markets, we will develop models reflecting the characteristics of Japan's institutional and systemic designs and use these in evaluating various policy options.

2007

The aim of this project is to develop evaluation methodologies (tool boxes) that can be used on the frontlines of the policy-making process. Specifically, we aim to assess the benefits and costs of each policy option, by using small-scale microeconomic models that are understandable, actionable, and facilitate the policy-making process. As in fiscal 2006, during fiscal 2007 the project will primarily focus on countermeasures to global warming and the Japanese-style electric power market liberalization. Regarding countermeasures to global warming, we will analyze the effects of such policies in the consumer sector and other designated fields. Regarding the liberalization of the electric power markets, we will develop models reflecting the characteristics of Japan''s institutional and systemic designs and use these in evaluating various policy options.

2006

Applied general equilibrium models have been put into use for policy evaluation in fields such as energy policy, but owing to the large scale of the models it has tended to be difficult to evaluate their reliability. In this research we aim to assess the benefits and costs of each policy option by using small-scale microeconomic models to facilitate preparation and comprehension at the time of policy-making. The primary targets of the policy simulation will be countermeasures for global warming and the Japanese-style liberalization of the electric power market. With regard to the countermeasures for global warming we will analyze the effects of policies in specific fields such as automobiles. As for the liberalization of the electric power market, we will analyze the characteristics of Japanese system designs compared with those of other countries, and evaluate the various policy options.

Until December 31, 2008