An introduction to computable general equilibrium models

This paper gives an introduction to computable general equilibrium (CGE) models. The paper focuses on static CGE-models - how they ave constructed, calibrated and used for policy evaluation. The paper also briefly presents the handful of models that are being used or are under development at present in Denmark. There is also a discussion of how the method differs from traditional macroeconometric models, as well as the pros and cons of the approach.