An object-oriented knowledge-based approach for formulating applied general equilibrium models

This paper proposes and illustrates an object-oriented, knowledge-based approach to formulate Applied General Equilibrium (AGE) models. In this framework, an AGE model is viewed as a collection of structured objects from the real world such as economic agents and prices. A frame representation of major objects in AGE models for world trade is presented. This representation can be used as the structure of a model base in a loosely coupled intelligent modeling system. In such a system, constructing an AGE model appears to be an intuitive rather than an abstract process. This intuitive process needs more understanding of substance of economics and the logic underlying the problem at hand rather than mathematical notation.