Designing Efficient Policies in a Regional Economy: A MCDM-CGE Approach

Since policy makers usually pursue several conflicting objectives, policy making can be understood as a multicriteria decision problem, according to the authors. Following the methodological proposal in André and Cardenete (2005), the authors use multiobjective programming in connection with a computable general equilibrium model to represent optimal policy making and to get so-called efficient policies in an application to a regional economy (Andalusia, Spain).