Commodity price calculation

[Ioannis Vrochidis]

Hello all,

I was just wondering how the price of the different commodities is calculated endogenously in the MCA.

I end up with some surprising results: E.g. The price of electricity produced by a natural gas plant (efficiency around 50%) being much lower than the -exogenously defined- price for gas. In principle, and given that this the only power generating unit, I would expect electricity price to be at least double.

I am probably missing something in the way the market is cleared in MCA.

Could you point me to the script/function doing these calculations in muse?

Thank you very much in advance!

Best,

Ioannis

[MUSE]

Dear Ioannis

here is the link to the main function for estimating the market equilibrium and the resulting prices.

Best