Cross price elasticity in TIMES?

[Pernille.S]

According to the the TIMES manual the cross price elasticity is set to zero. I have however read that it is possible to include cross price elasticity in the MARKAL-micro model.

 

Is it developed a similar TIMES-micro model variant? I think this would be useful, especially when modelling the transportation sector.

Thanks!

Pernille

[denise]

I donot know if markal-licro has been implemented in TIMES. Using cross price elasticities implies a non linear version of the model. Maybe Antti can abswer your question

[Antti-L]

To my knowledge, as yet nobody has implemented cross price elasticities into TIMES. As Denise mentioned, the MARKAL-MICRO variant requires the model to be solved as an NLP, which reduces the usability of the feature in large models. Anybody can, of course, implement such a feature into TIMES: the TIMES model generator is open source code and extensible.

Open source code evolves through community cooperation. The TIMES model generator is developed jointly by the members of the ETSAP community. If you would like to have a TIMES-MICRO variant, I strongly encourage you to implement it into TIMES, and then distribute it for the benefit of all ETSAP members.

[Antti-L]

I have however read that it is possible to include cross price elasticity in the MARKAL-micro model. Is it developed a similar TIMES-micro model variant? I think this would be useful, especially when modelling the transportation sector.

Some good news: The Markal-Micro implementation has been investigated by some ETSAP partners now. And it seems that cross price elasticities based on CES functions (like those in the Markal NLP approach designed by Denise) can be supported in TIMES in the near future.

[Pernille.S]

I have however read that it is possible to include cross price elasticity in the MARKAL-micro model. Is it developed a similar TIMES-micro model variant? I think this would be useful, especially when modelling the transportation sector.

Some good news: The Markal-Micro implementation has been investigated by some ETSAP partners now. And it seems that cross price elasticities based on CES functions (like those in the Markal NLP approach designed by Denise) can be supported in TIMES in the near future.

[Kathlen]

I have however read that it is possible to include cross price elasticity in the MARKAL-micro model. Is it developed a similar TIMES-micro model variant? I think this would be useful, especially when modelling the transportation sector.

Some good news: The Markal-Micro implementation has been investigated by some ETSAP partners now. And it seems that cross price elasticities based on CES functions (like those in the Markal NLP approach designed by Denise) can be supported in TIMES in the near future.

Hello all, I would like to know if cross-price elasticities are now supported in TIMES-micro models ? Or if there is any publications about preliminary works on this issue ? Thanks a lot.

[Antti-L]

Yes, starting from TIMES v4.1.0, using cross-price elasticities is now possible by defining CES functions for the commodities involved in the substitution, just like in Markal-Micro.

Documentation has been submitted to the ETSAP OA, but I guess they have decided not to make it public.  But you could try and contact the ETSAP support for it.

[Kathlen]

Yes, starting from TIMES v4.1.0, using cross-price elasticities is now possible by defining CES functions for the commodities involved in the substitution, just like in Markal-Micro.

Documentation has been submitted to the ETSAP OA, but I guess they have decided not to make it public.  But you could try and contact the ETSAP support for it.

Thank you very much, very useful to know.

[Antti-L]

A small update about elastic demand functions in TIMES:

On a user's request, in the latest TIMES v4.2.3 (just getting released), nested CES demand functions are now supported as well. An illustration of a transport-related example nested demand function is shown below. Any comments or suggestions for improvements are welcome.

   

[Kathlen]

A small update about elastic demand functions in TIMES:

On a user's request, in the latest TIMES v4.2.3 (just getting released), nested CES demand functions are now supported as well. An illustration of a transport-related example nested demand function is shown below. Any comments or suggestions for improvements are welcome.

Thank you

[Gary]

A small update about elastic demand functions in TIMES:

On a user's request, in the latest TIMES v4.2.3 (just getting released), nested CES demand functions are now supported as well. An illustration of a transport-related example nested demand function is shown below. Any comments or suggestions for improvements are welcome.

Hi Antti,

Very interesting & potentially extremely useful. Can you perhaps post the DOC on the Forum?

Thanks as always for your innovations & advancements for the TIMES community!!!

[Antti-L]

Thanks for the compliments!

The updated note is here: https://iea-etsap.org/docs/TIMES-Micro-Note.pdf