ASCANIO

ASCANIO is an econometric input-output model of Austrian federal states that is embedded in a system of the EU 27 and 15 other countries (Australia, Brazil, China, the UK, India, Indonesia, Japan, Canada, Korea, Norway, Russia, Switzerland, Taiwan, Turkey, the USA). At the core of the model are supply and use tables by 74 sectors or goods (NACE Rev. 2 two-digit); the sectors are linked by a trade matrix that connects the model regions at goods level. Base year of the model is 2019.

Key behavioural equations are estimated econometrically: factor demand in production is determined via a translog model together with the output prices. This leads to a consistent pricing mechanism: output prices determine basic commodity and service prices (price at the factory gate). Together with trade and transportation margins as well as taxes on goods and services, purchaser prices are derived (the prices paid by the various consumers). Exports valued at fob prices (free on board) at the border of the exporting country become cif-valued (cost, insurance, freight) imports at the border of the importing country after international trade and transportation margins have been added. The export flows of the 64 goods are to a large extent endogenous (from the mirrored imports of the other model regions); exports to the "rest of the world" not covered by the model are exogenous (but react to price developments).

In addition to interregional input linkages, ASCANIO explicitly distinguishes commuter linkages between the federal states, as well as regional consumption flows resulting from domestic tourism and purchases. In private consumption, a distinction is made between two durable (vehicles, housing) and 13 non-durable consumer goods (which are determined in a quadratic AIDS model).