Merge pull request #741 from deleip/f_usdaUpdate

update of use of USDA cost shares
magpiemodel · Nov 6, 2024 · 2d3a1de · 2d3a1de
2 parents 52fbed0 + a798fc1
commit 2d3a1de
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diff --git a/CHANGELOG.md b/CHANGELOG.md
@@ -6,6 +6,7 @@ The format is based on [Keep a Changelog](https://keepachangelog.com/en/1.0.0/).
 ## [Unreleased]
 
 ### changed
+- **38_factor_costs** updated use of USDA cost shares 
 - **inputdata** changed GDP base year from 2005USD to 2017USD
 - **config** changed default input data to use 2017USD
 - **module_documentation** all references to USD05 changed to USD17

diff --git a/config/default.cfg b/config/default.cfg
@@ -22,9 +22,9 @@ cfg$model <- "main.gms"   #def = "main.gms"
 #### input settings ####
 
 # which input data sets should be used?
-cfg$input <- c(regional    = "rev4.114_h12_magpie.tgz",
-               cellular    = "rev4.114_h12_fd712c0b_cellularmagpie_c200_MRI-ESM2-0-ssp370_lpjml-8e6c5eb1.tgz",
-               validation  = "rev4.114_h12_validation.tgz",
+cfg$input <- c(regional    = "rev4.115_h12_magpie.tgz",
+               cellular    = "rev4.115_h12_0bd54110_cellularmagpie_c200_MRI-ESM2-0-ssp119_lpjml-8e6c5eb1.tgz",
+               validation  = "rev4.115_h12_validation.tgz",
                additional  = "additional_data_rev4.57.tgz",
                calibration = "calibration_H12_27Sep24.tgz")
 

diff --git a/config/projects/scenario_config_el2.csv b/config/projects/scenario_config_el2.csv
@@ -19,5 +19,5 @@ gms$s15_exo_alcohol;1;1;1
 gms$s15_alc_scen;0;0;0
 gms$factor_costs;sticky_labor;sticky_labor;sticky_labor
 gms$c70_feed_scen;ssp1;ssp2;ssp2
-input['cellular'];rev4.114EL2_h12_c6a7458f_cellularmagpie_c200_IPSL-CM6A-LR-ssp370_lpjml-8e6c5eb1.tgz;;
+input['cellular'];rev4.115EL2_h12_c6a7458f_cellularmagpie_c200_IPSL-CM6A-LR-ssp370_lpjml-8e6c5eb1.tgz;;
 magicc_emis_scen;REMIND_generic_C_SSP2EU-DSPkB650-DS_betax_DeepDive_noNDC-rem-12.mif;REMIND_generic_C_SSP2EU-DSPkB650-DS_betax_DeepDive_noNDC-rem-12.mif;REMIND_generic_C_SSP2EU-DSPkB650-DS_betax_DeepDive_noNDC-rem-12.mif
diff --git a/config/projects/scenario_config_fsec.csv b/config/projects/scenario_config_fsec.csv
@@ -76,9 +76,9 @@ gms$s62_max_dem_bioplastic;0;;;;400;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 gms$c70_fac_req_regr;reg;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 gms$c70_feed_scen;;;;;;;;;;;;;;;;;;ssp1;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 gms$c73_build_demand;;;;;;;;;;;;;;;;;;;;;;;;50pc;;;;;;;;;;;;;;;;;;;;;;;;;;;
-input['cellular'];rev4.114_FSEC_3c888fa5_cellularmagpie_c200_MRI-ESM2-0-ssp460_lpjml-8e6c5eb1.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;rev4.114_FSEC_0bd54110_cellularmagpie_c200_MRI-ESM2-0-ssp119_lpjml-8e6c5eb1.tgz;rev4.114_FSEC_6819938d_cellularmagpie_c200_MRI-ESM2-0-ssp126_lpjml-8e6c5eb1.tgz;;rev4.114_FSEC_1b5c3817_cellularmagpie_c200_MRI-ESM2-0-ssp245_lpjml-8e6c5eb1.tgz;rev4.114_FSEC_3c888fa5_cellularmagpie_c200_MRI-ESM2-0-ssp460_lpjml-8e6c5eb1.tgz;rev4.114_FSEC_fd712c0b_cellularmagpie_c200_MRI-ESM2-0-ssp370_lpjml-8e6c5eb1.tgz;rev4.114_FSEC_09a63995_cellularmagpie_c200_MRI-ESM2-0-ssp585_lpjml-8e6c5eb1.tgz;;;
-input['regional'];rev4.114_FSEC_magpie.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
-input['validation'];rev4.114_FSEC_validation.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
+input['cellular'];rev4.115_FSEC_3c888fa5_cellularmagpie_c200_MRI-ESM2-0-ssp460_lpjml-8e6c5eb1.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;rev4.115_FSEC_0bd54110_cellularmagpie_c200_MRI-ESM2-0-ssp119_lpjml-8e6c5eb1.tgz;rev4.115_FSEC_6819938d_cellularmagpie_c200_MRI-ESM2-0-ssp126_lpjml-8e6c5eb1.tgz;;rev4.115_FSEC_1b5c3817_cellularmagpie_c200_MRI-ESM2-0-ssp245_lpjml-8e6c5eb1.tgz;rev4.115_FSEC_3c888fa5_cellularmagpie_c200_MRI-ESM2-0-ssp460_lpjml-8e6c5eb1.tgz;rev4.115_FSEC_fd712c0b_cellularmagpie_c200_MRI-ESM2-0-ssp370_lpjml-8e6c5eb1.tgz;rev4.115_FSEC_09a63995_cellularmagpie_c200_MRI-ESM2-0-ssp585_lpjml-8e6c5eb1.tgz;;;
+input['regional'];rev4.115_FSEC_magpie.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
+input['validation'];rev4.115_FSEC_validation.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 input['additional'];additional_data_rev4.57.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 input['calibration'];calibration_FSEC_27Sep24.tgz;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 magicc_emis_scen;bjoernAR6_C_SSP2-NDC.mif;;;bjoernAR6_C_SSP2-PkBudg900.mif;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;bjoernAR6_C_SSP1-NDC.mif;;;;;;;;;;;;bjoernAR6_C_RemSDP-900-MagSSP1.mif;;
diff --git a/config/scenario_config.csv b/config/scenario_config.csv
@@ -74,4 +74,4 @@ gms$c60_biodem_level;;;;;;;;;;;;;;;;;;;;1;0;;;;;;;;;;;;
 gms$c60_res_2ndgenBE_dem;;;;ssp1;ssp2;ssp2;ssp3;ssp4;ssp5;sdp;ssp2;sdp;sdp;;;;;;;;;;;;;;;;;;;;
 gms$c70_feed_scen;;;;ssp1;ssp2;ssp2;ssp3;ssp4;ssp5;ssp1;ssp5;ssp1;ssp1;;;;;;;;;;;;;;;;;;;;
 gms$s73_timber_demand_switch;;;;;;;;;;;;;;;;;;;;;;;;;1;1;0;;;;;;
-input['cellular'];;;;;;;;;;;;;;;;;;;;;;;;;;;;rev4.114_h12_0bd54110_cellularmagpie_c200_MRI-ESM2-0-ssp119_lpjml-8e6c5eb1.tgz;rev4.114_h12_6819938d_cellularmagpie_c200_MRI-ESM2-0-ssp126_lpjml-8e6c5eb1.tgz;rev4.114_h12_1b5c3817_cellularmagpie_c200_MRI-ESM2-0-ssp245_lpjml-8e6c5eb1.tgz;rev4.114_h12_3c888fa5_cellularmagpie_c200_MRI-ESM2-0-ssp460_lpjml-8e6c5eb1.tgz;rev4.114_h12_fd712c0b_cellularmagpie_c200_MRI-ESM2-0-ssp370_lpjml-8e6c5eb1.tgz;rev4.114_h12_09a63995_cellularmagpie_c200_MRI-ESM2-0-ssp585_lpjml-8e6c5eb1.tgz
+input['cellular'];;;;;;;;;;;;;;;;;;;;;;;;;;;;rev4.115_h12_0bd54110_cellularmagpie_c200_MRI-ESM2-0-ssp119_lpjml-8e6c5eb1.tgz;rev4.115_h12_6819938d_cellularmagpie_c200_MRI-ESM2-0-ssp126_lpjml-8e6c5eb1.tgz;rev4.115_h12_1b5c3817_cellularmagpie_c200_MRI-ESM2-0-ssp245_lpjml-8e6c5eb1.tgz;rev4.115_h12_3c888fa5_cellularmagpie_c200_MRI-ESM2-0-ssp460_lpjml-8e6c5eb1.tgz;rev4.115_h12_fd712c0b_cellularmagpie_c200_MRI-ESM2-0-ssp370_lpjml-8e6c5eb1.tgz;rev4.115_h12_09a63995_cellularmagpie_c200_MRI-ESM2-0-ssp585_lpjml-8e6c5eb1.tgz
diff --git a/modules/36_employment/exo_may22/declarations.gms b/modules/36_employment/exo_may22/declarations.gms
@@ -23,8 +23,6 @@ parameters
  pm_productivity_gain_from_wages(t,i)   Multiplicative factor describing productivity gain related to higher wages (1)
  p36_total_hours_worked(iso)            Total hours worked by all employed people (mio. hours per year)
  p36_calibration_hourly_costs(iso)      Additive calibration term for hourly labor costs (USD17MER per hour)
- p36_cost_share(t,i)                    Capital share of factor costs (1)
- p36_share_calibration(i)               Additive calibration term for capital shares (1)
  p36_nonmagpie_labor_costs(t,i)         Labor costs from subsidies and Value of Production not covered by MAgPIE (mio. USD17MER)
 ;
 

diff --git a/modules/36_employment/exo_may22/input.gms b/modules/36_employment/exo_may22/input.gms
@@ -54,19 +54,3 @@ $ondelim
 $include "./modules/36_employment/exo_may22/input/f36_nonmagpie_factor_costs.csv"
 $offdelim
 ;
-
-parameter f36_regr_cap_share(reg36) Parameters for dynamic regression
-/
-$ondelim
-$include "./modules/36_employment/exo_may22/input/f36_regression_cap_share.csv"
-$offdelim
-/
-;
-
-table f36_hist_cap_share(t_all,i) Historical capital share
-$ondelim
-$include "./modules/36_employment/exo_may22/input/f36_historical_share.csv"
-$offdelim
-;
-
-
diff --git a/modules/36_employment/exo_may22/input/files b/modules/36_employment/exo_may22/input/files
@@ -6,5 +6,3 @@ f36_regression_hourly_labor_costs.csv
 f36_historic_ag_employment.csv
 f36_unspecified_subsidies.csv
 f36_nonmagpie_factor_costs.csv
-f36_regression_cap_share.csv
-f36_historical_share.csv
diff --git a/modules/36_employment/exo_may22/presolve.gms b/modules/36_employment/exo_may22/presolve.gms
@@ -5,14 +5,6 @@
 *** |  MAgPIE License Exception, version 1.0 (see LICENSE file).
 *** |  Contact: [email protected]
 
-* capital cost share to split non-magpie factor costs into labor and capital
-p36_share_calibration(i) = f36_hist_cap_share("y2010",i)-(f36_regr_cap_share("slope")*log10(sum(i_to_iso(i,iso),(im_gdp_pc_ppp_iso("y2010",iso) * fm_gdp_defl_ppp(iso))))+f36_regr_cap_share("intercept"));
-
-if (m_year(t)<2010,
- p36_cost_share(t,i) = f36_hist_cap_share(t,i);
-elseif (m_year(t)>=2010),
- p36_cost_share(t,i) = f36_regr_cap_share("slope")*log10(sum(i_to_iso(i,iso),(im_gdp_pc_ppp_iso(t,iso) * fm_gdp_defl_ppp(iso))))+f36_regr_cap_share("intercept")+p36_share_calibration(i);
-);
 
 *' @code
 
@@ -21,7 +13,7 @@ elseif (m_year(t)>=2010),
 *' are both kept constant for future years. 
 
 p36_nonmagpie_labor_costs(t,i) = (f36_unspecified_subsidies(t,i) + f36_nonmagpie_factor_costs(t,i)) *
-                                     (1-p36_cost_share(t,i)) * (1/pm_productivity_gain_from_wages(t,i)) *
+                                     (pm_factor_cost_shares(t,i,"labor")) * (1/pm_productivity_gain_from_wages(t,i)) *
                                      (pm_hourly_costs(t,i,"scenario") / pm_hourly_costs(t,i,"baseline"));
 
 *' @stop
diff --git a/modules/38_factor_costs/input/files b/modules/38_factor_costs/input/files
@@ -1,5 +1,6 @@
 * list of files that are required here
-f38_historical_share.csv
+f38_historical_share_iso.csv
 f38_regression_cap_share.csv
 f38_fac_req_fao.csv
-f38_fac_req_fao_regional.cs4
+f38_fac_req_fao_regional.cs4
+f38_hist_factor_costs_iso.csv
diff --git a/modules/38_factor_costs/per_ton_fao_may22/declarations.gms b/modules/38_factor_costs/per_ton_fao_may22/declarations.gms
@@ -15,9 +15,10 @@ vm_cost_prod_crop(i,factors)      Regional factor costs of capital and labor for
 ;
 
 parameter
-pm_cost_share_crops(t,i,factors)  Capital and labor shares of the regional factor costs for crop production   (1)
-p38_share_calibration(i)          Summation factor used to calibrate calculated capital shares with historical values (1)
-i38_fac_req(t_all,i,kcr)          Factor requirements (USD17MER per tDM)
+p38_capital_cost_shares_iso(t,iso)    Capital shares of factor costs on iso level (1)
+p38_capital_share_calibration(iso)    Summation factor used to calibrate calculated capital shares with historical values (1)
+pm_factor_cost_shares(t,i,factors)    Capital and labor shares of factor costs on regional level (1) 
+i38_fac_req(t_all,i,kcr)              Factor requirements (USD17MER per tDM)
 ;
 
 *#################### R SECTION START (OUTPUT DECLARATIONS) ####################

diff --git a/modules/38_factor_costs/per_ton_fao_may22/equations.gms b/modules/38_factor_costs/per_ton_fao_may22/equations.gms
@@ -9,12 +9,12 @@
 
  q38_cost_prod_crop_labor(i2) ..
   vm_cost_prod_crop(i2,"labor") =e= sum(kcr, vm_prod_reg(i2,kcr) * sum(ct,i38_fac_req(ct,i2,kcr))) * 
-                                    sum(ct,pm_cost_share_crops(ct,i2,"labor") * (1/pm_productivity_gain_from_wages(ct,i2)) * 
+                                    sum(ct,pm_factor_cost_shares(ct,i2,"labor") * (1/pm_productivity_gain_from_wages(ct,i2)) * 
                                     (pm_hourly_costs(ct,i2,"scenario") / pm_hourly_costs(ct,i2,"baseline")));
 
  q38_cost_prod_crop_capital(i2) ..
   vm_cost_prod_crop(i2,"capital") =e= sum(kcr, vm_prod_reg(i2,kcr) * sum(ct,i38_fac_req(ct,i2,kcr))) *
-                                      sum(ct,pm_cost_share_crops(ct,i2,"capital"));
+                                      sum(ct,pm_factor_cost_shares(ct,i2,"capital"));
 
 *' The factor costs for crops `vm_cost_prod_crop` are calculated as product of
 *' production quantity `vm_prod_reg` and crop-specific factor requirements

diff --git a/modules/38_factor_costs/per_ton_fao_may22/input.gms b/modules/38_factor_costs/per_ton_fao_may22/input.gms
@@ -33,8 +33,14 @@ $offdelim
 /
 ;
 
-table f38_historical_share(t_all,i) Historical capital share
+table f38_historical_share(t_all,iso) Historical capital share
 $ondelim
-$include "./modules/38_factor_costs/input/f38_historical_share.csv"
+$include "./modules/38_factor_costs/input/f38_historical_share_iso.csv"
+$offdelim
+;
+
+table f38_hist_factor_costs(t_all,iso) Historical factor costs for crop and livestock (mio USD17MER)
+$ondelim
+$include "./modules/38_factor_costs/input/f38_hist_factor_costs_iso.csv"
 $offdelim
 ;
diff --git a/modules/38_factor_costs/per_ton_fao_may22/preloop.gms b/modules/38_factor_costs/per_ton_fao_may22/preloop.gms
@@ -0,0 +1,19 @@
+*** |  (C) 2008-2024 Potsdam Institute for Climate Impact Research (PIK)
+*** |  authors, and contributors see CITATION.cff file. This file is part
+*** |  of MAgPIE and licensed under AGPL-3.0-or-later. Under Section 7 of
+*** |  AGPL-3.0, you are granted additional permissions described in the
+*** |  MAgPIE License Exception, version 1.0 (see LICENSE file).
+*** |  Contact: [email protected]
+
+*  calculate capital cost shares from regression
+p38_capital_share_calibration(iso) = sum(t_past$(ord(t_past) eq card(t_past)), f38_historical_share(t_past,iso) - (f38_reg_parameters("slope") * 
+                                    log10(im_gdp_pc_ppp_iso(t_past,iso)) + f38_reg_parameters("intercept")));
+
+p38_capital_cost_shares_iso(t,iso)$(m_year(t)<2010)  = f38_historical_share(t,iso);
+p38_capital_cost_shares_iso(t,iso)$(m_year(t)>=2010) = f38_reg_parameters("slope") * log10(im_gdp_pc_ppp_iso(t,iso)) + f38_reg_parameters("intercept") + p38_capital_share_calibration(iso);
+
+* aggregate factor cost shares
+pm_factor_cost_shares(t,i,"capital") = sum(t_past$(ord(t_past) eq card(t_past)), 
+                                            sum(i_to_iso(i,iso), f38_hist_factor_costs(t_past,iso) * p38_capital_cost_shares_iso(t,iso)) / 
+                                            sum(i_to_iso(i,iso), f38_hist_factor_costs(t_past,iso)));
+pm_factor_cost_shares(t,i,"labor")   = 1 - pm_factor_cost_shares(t,i,"capital");
diff --git a/modules/38_factor_costs/per_ton_fao_may22/presolve.gms b/modules/38_factor_costs/per_ton_fao_may22/presolve.gms
@@ -20,14 +20,3 @@ elseif m_year(t)>=2010,
 else
   i38_fac_req(t,i,kcr) = i38_fac_req(t,i,kcr);
 );
-
-p38_share_calibration(i) = f38_historical_share("y2010",i)-(f38_reg_parameters("slope")*log10(sum(i_to_iso(i,iso),(im_gdp_pc_ppp_iso("y2010",iso) * fm_gdp_defl_ppp(iso))))+f38_reg_parameters("intercept"));
-
-if (m_year(t)<2010,
-  pm_cost_share_crops(t,i,"capital") = f38_historical_share(t,i);
-  pm_cost_share_crops(t,i,"labor")   = 1 - f38_historical_share(t,i);
-
-elseif (m_year(t)>=2010),
-  pm_cost_share_crops(t,i,"capital") = f38_reg_parameters("slope")*log10(sum(i_to_iso(i,iso),(im_gdp_pc_ppp_iso(t,iso) * fm_gdp_defl_ppp(iso))))+f38_reg_parameters("intercept")+p38_share_calibration(i);
-  pm_cost_share_crops(t,i,"labor")   = 1 - pm_cost_share_crops(t,i,"capital");
-);
diff --git a/modules/38_factor_costs/per_ton_fao_may22/realization.gms b/modules/38_factor_costs/per_ton_fao_may22/realization.gms
@@ -24,6 +24,7 @@ $Ifi "%phase%" == "declarations" $include "./modules/38_factor_costs/per_ton_fao
 $Ifi "%phase%" == "input" $include "./modules/38_factor_costs/per_ton_fao_may22/input.gms"
 $Ifi "%phase%" == "equations" $include "./modules/38_factor_costs/per_ton_fao_may22/equations.gms"
 $Ifi "%phase%" == "scaling" $include "./modules/38_factor_costs/per_ton_fao_may22/scaling.gms"
+$Ifi "%phase%" == "preloop" $include "./modules/38_factor_costs/per_ton_fao_may22/preloop.gms"
 $Ifi "%phase%" == "presolve" $include "./modules/38_factor_costs/per_ton_fao_may22/presolve.gms"
 $Ifi "%phase%" == "postsolve" $include "./modules/38_factor_costs/per_ton_fao_may22/postsolve.gms"
 *######################## R SECTION END (PHASES) ###############################
diff --git a/modules/38_factor_costs/sticky_feb18/declarations.gms b/modules/38_factor_costs/sticky_feb18/declarations.gms
@@ -24,8 +24,9 @@ parameters
  p38_capital_immobile(t,j,kcr)         Preexisting immobile capital stocks before investment (mio USD17MER)
  p38_capital_mobile(t,j)               Preexisting mobile capital stocks before investment (mio USD17MER)
 
- pm_cost_share_crops(t,i,factors)      Capital and labor shares of the regional factor costs for crop production (1)
- p38_share_calibration(i)              Summation factor used to calibrate calculated capital shares with historical values (1)
+ p38_capital_cost_shares_iso(t,iso)    Capital shares of factor costs on iso level (1)
+ p38_capital_share_calibration(iso)    Summation factor used to calibrate calculated capital shares with historical values (1)
+ pm_factor_cost_shares(t,i,factors)    Capital and labor shares of factor costs on regional level (1) 
 
  p38_croparea_start(j,w,kcr)           Agricultural land initialization area (mio. ha)
 

diff --git a/modules/38_factor_costs/sticky_feb18/input.gms b/modules/38_factor_costs/sticky_feb18/input.gms
@@ -39,8 +39,14 @@ $offdelim
 /
 ;
 
-table f38_historical_share(t_all,i) Historical capital share
+table f38_historical_share(t_all,iso) Historical capital share
 $ondelim
-$include "./modules/38_factor_costs/input/f38_historical_share.csv"
+$include "./modules/38_factor_costs/input/f38_historical_share_iso.csv"
+$offdelim
+;
+
+table f38_hist_factor_costs(t_all,iso) Historical factor costs for crop and livestock (mio USD17MER)
+$ondelim
+$include "./modules/38_factor_costs/input/f38_hist_factor_costs_iso.csv"
 $offdelim
 ;
diff --git a/modules/38_factor_costs/sticky_feb18/input/files b/modules/38_factor_costs/sticky_feb18/input/files
@@ -1,5 +1,6 @@
 * list of files that are required here
 f38_region_yield.csv
-f38_historical_share.csv
+f38_historical_share_iso.csv
 f38_regression_cap_share.csv
 f38_fac_req_fao.csv
+f38_hist_factor_costs_iso.csv
diff --git a/modules/38_factor_costs/sticky_feb18/preloop.gms b/modules/38_factor_costs/sticky_feb18/preloop.gms
@@ -0,0 +1,19 @@
+*** |  (C) 2008-2024 Potsdam Institute for Climate Impact Research (PIK)
+*** |  authors, and contributors see CITATION.cff file. This file is part
+*** |  of MAgPIE and licensed under AGPL-3.0-or-later. Under Section 7 of
+*** |  AGPL-3.0, you are granted additional permissions described in the
+*** |  MAgPIE License Exception, version 1.0 (see LICENSE file).
+*** |  Contact: [email protected]
+
+*  calculate capital cost shares from regression
+p38_capital_share_calibration(iso) = sum(t_past$(ord(t_past) eq card(t_past)), f38_historical_share(t_past,iso) - (f38_reg_parameters("slope") * 
+                                    log10(im_gdp_pc_ppp_iso(t_past,iso)) + f38_reg_parameters("intercept")));
+
+p38_capital_cost_shares_iso(t,iso)$(m_year(t)<2010)  = f38_historical_share(t,iso);
+p38_capital_cost_shares_iso(t,iso)$(m_year(t)>=2010) = f38_reg_parameters("slope") * log10(im_gdp_pc_ppp_iso(t,iso)) + f38_reg_parameters("intercept") + p38_capital_share_calibration(iso);
+
+* aggregate factor cost shares
+pm_factor_cost_shares(t,i,"capital") = sum(t_past$(ord(t_past) eq card(t_past)), 
+                                            sum(i_to_iso(i,iso), f38_hist_factor_costs(t_past,iso) * p38_capital_cost_shares_iso(t,iso)) / 
+                                            sum(i_to_iso(i,iso), f38_hist_factor_costs(t_past,iso)));
+pm_factor_cost_shares(t,i,"labor")   = 1 - pm_factor_cost_shares(t,i,"capital");
diff --git a/modules/38_factor_costs/sticky_feb18/presolve.gms b/modules/38_factor_costs/sticky_feb18/presolve.gms
@@ -9,17 +9,6 @@ if (smax(j, pm_labor_prod(t,j)) <> 1 OR smin(j, pm_labor_prod(t,j)) <> 1,
   abort "This factor cost realization cannot handle labor productivities != 1"
 );
 
-p38_share_calibration(i) = f38_historical_share("y2010",i)-(f38_reg_parameters("slope")*log10(sum(i_to_iso(i,iso),(im_gdp_pc_ppp_iso("y2010",iso) * fm_gdp_defl_ppp(iso))))+f38_reg_parameters("intercept"));
-
-if (m_year(t)<2010,
-  pm_cost_share_crops(t,i,"capital") = f38_historical_share(t,i);
-  pm_cost_share_crops(t,i,"labor")   = 1 - f38_historical_share(t,i);
-
-elseif (m_year(t)>=2010),
-  pm_cost_share_crops(t,i,"capital") = f38_reg_parameters("slope")*log10(sum(i_to_iso(i,iso),(im_gdp_pc_ppp_iso(t,iso) * fm_gdp_defl_ppp(iso))))+f38_reg_parameters("intercept")+p38_share_calibration(i);
-  pm_cost_share_crops(t,i,"labor")   = 1 - pm_cost_share_crops(t,i,"capital");
-);
-
 * choosing between regional (+time dependent) or global (from 2005) factor requirements
 $if "%c38_fac_req%" == "glo" i38_fac_req(t,i,kcr) = f38_fac_req(kcr);
 $if "%c38_fac_req%" == "reg" i38_fac_req(t,i,kcr) = f38_fac_req_fao_reg(t,i,kcr);
@@ -32,9 +21,9 @@ else
   i38_fac_req(t,i,kcr) = i38_fac_req(t,i,kcr);
 );
 
-p38_labor_need(t,i,kcr) = i38_fac_req(t,i,kcr)  * pm_cost_share_crops(t,i,"labor");
-p38_capital_need(t,i,kcr,"mobile") = i38_fac_req(t,i,kcr) * pm_cost_share_crops(t,i,"capital") / (pm_interest(t,i)+s38_depreciation_rate) * (1-s38_immobile);
-p38_capital_need(t,i,kcr,"immobile") = i38_fac_req(t,i,kcr)  * pm_cost_share_crops(t,i,"capital") / (pm_interest(t,i)+s38_depreciation_rate) * s38_immobile;
+p38_labor_need(t,i,kcr) = i38_fac_req(t,i,kcr)  * pm_factor_cost_shares(t,i,"labor");
+p38_capital_need(t,i,kcr,"mobile") = i38_fac_req(t,i,kcr) * pm_factor_cost_shares(t,i,"capital") / (pm_interest(t,i)+s38_depreciation_rate) * (1-s38_immobile);
+p38_capital_need(t,i,kcr,"immobile") = i38_fac_req(t,i,kcr)  * pm_factor_cost_shares(t,i,"capital") / (pm_interest(t,i)+s38_depreciation_rate) * s38_immobile;
 
 if (ord(t) = 1,
 

diff --git a/modules/38_factor_costs/sticky_feb18/realization.gms b/modules/38_factor_costs/sticky_feb18/realization.gms
@@ -24,6 +24,7 @@ $Ifi "%phase%" == "declarations" $include "./modules/38_factor_costs/sticky_feb1
 $Ifi "%phase%" == "input" $include "./modules/38_factor_costs/sticky_feb18/input.gms"
 $Ifi "%phase%" == "equations" $include "./modules/38_factor_costs/sticky_feb18/equations.gms"
 $Ifi "%phase%" == "scaling" $include "./modules/38_factor_costs/sticky_feb18/scaling.gms"
+$Ifi "%phase%" == "preloop" $include "./modules/38_factor_costs/sticky_feb18/preloop.gms"
 $Ifi "%phase%" == "presolve" $include "./modules/38_factor_costs/sticky_feb18/presolve.gms"
 $Ifi "%phase%" == "postsolve" $include "./modules/38_factor_costs/sticky_feb18/postsolve.gms"
 *######################## R SECTION END (PHASES) ###############################