[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-108595-en":3,"doc-seo-108595-105":31,"detail-sidebar-cat-0-en-105":93},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":20,"is_deleted":4,"is_public":21,"is_downloadable":21,"audit_status":21,"page_count":22,"language":23,"language_code":24,"site_id":25,"html_lang":24,"table_of_contents":26,"faqs":27,"seo_title":28,"seo_description":14,"update_tm":29,"read_time":30},108595,1099514068035,"Ezra","https://ap-avatar.wpscdn.com/davatar_276721f389ce27ea32af1340a28f341c",8,"Research & Report","Kazakhstan Country Climate and Development Report - Background Note 6 - Approach to Energy and Macroeconomic Modelling","Background Note 6 details two core models used for the Kazakhstan Country Climate and Development Report: an energy model and a macroeconomic model. It explains why the climate-augmented World Bank Macro-fiscal model (CC-MFMod) is selected, outlines how it extends the standard MFMod through emissions, pollution, damage and adaptation modules, and clarifies the macro-structural framework for GDP measurement, sector mapping and dynamics. The note also compares alternative CGE approaches and describes how climate policies are evaluated alongside non-climate outcomes.","| Authorized\u003Cbr>\u003Cbr> |\n| --- |\n| Public Disc losure\u003Cbr> |\n| horized\u003Cbr>\u003Cbr> |\n| Disc losure Aut\u003Cbr>\u003Cbr> |\n| zed Public\u003Cbr>\u003Cbr> KAZAKHSTAN\u003Cbr> |\n| isc losure Authori\u003Cbr> |\n| Pub l ic D\u003Cbr>\u003Cbr> |\n| e Authorized\u003Cbr> |\n| Pub lic Disclosur\u003Cbr>\u003Cbr> |\n|  |\n| \u003Cbr>BACKGROUND NOTE 6\u003Cbr>Approach to energy and macroeconomic modelling |\n\nThis Background Note provides details about two key models used in the Kazakhstan Country Climate and Development Report – the energy model and the macroeconomic model. The Note is in two parts. The first outlines the approach for the macroeconomic model. The second does so for the energy model.  \nPART 1: MACRO-MODELING DETAILS FOR THE KAZAKHSTAN CCDR  \nThe Country Climate Change MFMod (CC-MFMod)  \n1. Rationale for using CC-MFMod  \nThe World Bank’s Macro-fiscal model (MFMod) is the macro-structural model already used by every country team to do core macro-modeling work1. It is used to produce the biannual Macro Poverty Outlook publication (MPO) which in turn underpins other Bank analytics. Using an extended version (the CC-MFMod) will ensure consistency with the Bank’s other macro-modeling and analyses.  \nAlternative modeling was considered but time and data constraints justify the choice of CC-MFMod.  \nThe alternative modeling strategy considered was to develop country-specific standalone dynamic computable general equilibrium (CGE) model using the Mitigation, Adaptation and New Technologies Applied General Equilibrium (MANAGE) model. The MANAGE model was designed to focus on energy, emissions, and climate change. This dynamic CGE model generates conventional data on production, consumption, investment, savings, etc., as well as data on emissions (by production and consumption) and the mix of energy consumption. The sectoral detail is broad but is derived from Social Accounting Matrices (SAM) which only represent a snapshot in time. These SAMs are not necessarily available for all countries in the region (GTAP data are not available) . CC-MFMod entails a modeling of the dynamics of an economy – i.e., the transition out of equilibrium to equilibrium. Both models have a similar theoretical structure for the long-run, while CC-MFMod’s short-run is more tied to data. The sectors in MFMod are fewer, but sufficient for the analysis in the CCDR (agriculture, industry, electricity and services) .  \n2. The standard/core MFMod, extension to CC-MFMod and overall model structure  \nMFMod is a structural econometric model that reproduces the flow of funds across the whole economy  \nby mapping out the main identities of the national accounts, balance of payments, labor markets and financial sectors (see Figure A.1) . Macrostructural models make a concerted effort to estimate the economic and behavioral determinants of economic variables. These structural relationships are developed to be both consistent with economic theory (in the long run) and the observed dynamics of the economy in the short-term (Burns et al. 2019) . As a result, the speed of adjustment of each country specific model to its economically-determined long-term equilibrium2 depends mainly on the actual historical behavior of the economy.  \n1 See Burns et al. (2019) for a technical description of MFMod  \n2 The overall time-variant equilibrium growth path of the economy is determined by potential output, which is calculated using the production-function methodology as a function of total factor productivity, the level of capital and labor (which are functions of assumptions on capital investment, population growth rates, labor participation) .  \nIn MFMod, the modeling of GDP comprises three standard measurements. GDP from the (i) expenditure side,(ii) production side and (iii) income side (see Burns et al. 2019 for more details; Figure A. 2) . To include climate change considerations, some modifications are made to accommodate additional dimensions in each of the approaches. For example, energy can be disaggregated (into renewables and others) in both the","cbCaics4utHdFIvr","https://ap.wps.com/l/cbCaics4utHdFIvr","pdf",1000240,5,1,20,"English","en",105,"# Background Note 6: Approach to energy and macroeconomic modelling\n## Part 1: Macro-modeling details for the Kazakhstan CCDR\n### The Country Climate Change MFMod (CC-MFMod)\n#### Rationale for using CC-MFMod\n#### The standard/core MFMod, extension to CC-MFMod and overall model structure\n#### Sectoral detail in the model (production side)","[{\"question\":\"Why is the CC-MFMod used in the Kazakhstan Country Climate and Development Report?\",\"answer\":\"The note explains that CC-MFMod builds on the World Bank’s MFMod, already used for core macro-modeling, to maintain consistency with other Bank analytics while integrating climate-related effects.\"},{\"question\":\"How does CC-MFMod extend the standard MFMod framework for climate analysis?\",\"answer\":\"It introduces emissions and pollution modules, damage functions related to higher temperatures, pollution and flooding, and an adaptation module assessing benefits of adaptation investments under climate change.\"},{\"question\":\"What alternative modeling approach was considered, and why was CC-MFMod preferred?\",\"answer\":\"A country-specific standalone dynamic CGE model using the MANAGE approach was considered, but time and data constraints justified choosing CC-MFMod.\"}]","Kazakhstan Country Climate and Development Report - Background Note 6 - Approach to Energy and Macroeconomic Modelling | PDF",1784472558,50,{"code":4,"msg":32,"data":33},"ok",{"site_id":25,"language":24,"slug":34,"title":13,"keywords":35,"description":14,"schema_data":36,"social_meta":88,"head_meta":90,"extra_data":92,"updated_unix":29},"kazakhstan-country-climate-and-development-report-background-note-6-approach-to-energy-and-macroeconomic-modelling","",{"@graph":37,"@context":87},[38,55,70],{"@type":39,"itemListElement":40},"BreadcrumbList",[41,45,49,52],{"item":42,"name":43,"@type":44,"position":21},"https://docshare.wps.com","Home","ListItem",{"item":46,"name":47,"@type":44,"position":48},"https://docshare.wps.com/document/","Document",2,{"item":50,"name":12,"@type":44,"position":51},"https://docshare.wps.com/document/research-report/",3,{"item":53,"name":13,"@type":44,"position":54},"https://docshare.wps.com/document/kazakhstan-country-climate-and-development-report-background-note-6-approach-to-energy-and-macroeconomic-modelling/108595/",4,{"url":53,"name":13,"@type":56,"author":57,"headline":13,"publisher":59,"fileFormat":62,"inLanguage":24,"description":14,"dateModified":63,"datePublished":64,"encodingFormat":62,"isAccessibleForFree":65,"interactionStatistic":66},"DigitalDocument",{"name":9,"@type":58},"Person",{"url":42,"name":60,"@type":61},"DocShare","Organization","application/pdf","2026-07-30","2026-07-19",true,{"@type":67,"interactionType":68,"userInteractionCount":20},"InteractionCounter",{"@type":69},"ViewAction",{"@type":71,"mainEntity":72},"FAQPage",[73,79,83],{"name":74,"@type":75,"acceptedAnswer":76},"Why is the CC-MFMod used in the Kazakhstan Country Climate and Development Report?","Question",{"text":77,"@type":78},"The note explains that CC-MFMod builds on the World Bank’s MFMod, already used for core macro-modeling, to maintain consistency with other Bank analytics while integrating climate-related effects.","Answer",{"name":80,"@type":75,"acceptedAnswer":81},"How does CC-MFMod extend the standard MFMod framework for climate analysis?",{"text":82,"@type":78},"It introduces emissions and pollution modules, damage functions related to higher temperatures, pollution and flooding, and an adaptation module assessing benefits of adaptation investments under climate change.",{"name":84,"@type":75,"acceptedAnswer":85},"What alternative modeling approach was considered, and why was CC-MFMod preferred?",{"text":86,"@type":78},"A country-specific standalone dynamic CGE model using the MANAGE approach was considered, but time and data constraints justified choosing CC-MFMod.","https://schema.org",{"og:url":53,"og:type":89,"og:title":13,"og:site_name":60,"og:description":14},"article",{"robots":91,"canonical":53},"index,follow",{"doc_id":7,"site_id":25},{"code":4,"msg":5,"data":94},[95,99,103,107,111,115,120,123,127,130,134],{"id":21,"doc_module":4,"doc_module_name":47,"category_name":96,"show_sort_weight":97,"slug":98},"Story & Novel",90,"story-novel",{"id":48,"doc_module":4,"doc_module_name":47,"category_name":100,"show_sort_weight":101,"slug":102},"Literature",80,"literature",{"id":54,"doc_module":4,"doc_module_name":47,"category_name":104,"show_sort_weight":105,"slug":106},"Exam",70,"exam",{"id":20,"doc_module":4,"doc_module_name":47,"category_name":108,"show_sort_weight":109,"slug":110},"Comic",60,"comic",{"id":112,"doc_module":4,"doc_module_name":47,"category_name":113,"show_sort_weight":30,"slug":114},6,"Technology","technology",{"id":116,"doc_module":4,"doc_module_name":47,"category_name":117,"show_sort_weight":118,"slug":119},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":47,"category_name":12,"show_sort_weight":121,"slug":122},30,"research-report",{"id":124,"doc_module":4,"doc_module_name":47,"category_name":125,"show_sort_weight":22,"slug":126},9,"Religion & Spirituality","religion-spirituality",{"id":22,"doc_module":4,"doc_module_name":47,"category_name":128,"show_sort_weight":22,"slug":129},"World Cup","world-cup",{"id":131,"doc_module":4,"doc_module_name":47,"category_name":132,"show_sort_weight":131,"slug":133},10,"Lifestyle","lifestyle",{"id":135,"doc_module":4,"doc_module_name":47,"category_name":136,"show_sort_weight":20,"slug":137},19,"General","general"]