SIMPLE Database and Model for Base Year 2017

By Uris Lantz C Baldos

Purdue University

This is a database workflow for SIMPLE Databate and Model for Base Year 2017. This database is for the non-gridded version of SIMPLE and is defined for 153 regions. It takes crop production data from FAOSTAT via API and allows users to change...

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Version 1.0 - published on 22 Jan 2024 doi:10.13019/RPZW-BX12 - cite this

Licensed under CC0 - Creative Commons

Description

SIMPLE is designed to facilitate the analysis of the drivers behind the long run supply and demand for land in agriculture (i.e. croplands). Regional commodity demands are characterized in terms of an "ad hoc" demand system, wherein food and non-food prices alike are considered. Food consists of crops, processed foods and livestock commodities. Crop use include crops consumed as food, feedstock by the regional biofuels sector and crop inputs used by the livestock and processed food industries.  

The global supply of crops is based on regional crop production functions which combines land and nonland inputs to produce a homogeneous crop output. The supply of cropland varies by region and is a function of cropland returns in that region. The supply of nonland inputs is more price elastic and reflects the composite supply of labor, capital and purchased materials to the crops sector.                              

Demand and supply for crops clear at the local and global markets. Given, these consumers and producers of crops face two crop prices, local and global. There is an option to impose a single global price for crops for all market participants (i.e. integrated markets).

For other commodities, market equilbrium occurs at a regional level. As a consequence, processed food, livestock and non-food products have unique regional prices. Quantity of crops in this model are expressed in terms of corn equivalent (i.e. "normalized" quantities). Crop output is calculated using    data on output for each crop and the ratio of crop price of each crop with respect to world price of corn (i.e. corn-equivalent output).

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This is version 1.0