Abstract

This discussion paper by Adam Blake, published by the Tourism and Travel Research Institute (TTRI) in 2004, describes the computable general equilibrium (CGE) model used in the VisitScotland Moffat Scenario Model. The model structure is a single country static CGE model. The single defining factor of any CGE model is that of simultaneous market clearing; a number of product and factor markets are identified and modelled, and prices adjust in each market to ensure that demand equals supply. The paper illustrates the use of economic models in the analysis of tourism markets.