Rhomolo in Action: Assessing Regional and Economic Impacts of EU Policies on Innovation and Sustainability | Simone Salotti (Joint Research Centre)

20 May 2025 | 12:00 — 13:00

Virtual/Online

FBK-IRVAPP is pleased to invite you to the following seminar: Rhomolo in Action: Assessing Regional and Economic Impacts of EU Policies on Innovation and Sustainability.

With the participation of Simone Salotti (Joint Research Centre)

Abstract

The seminar presents an in-depth exploration of the Rhomolo model, a dynamic spatial computable general equilibrium (CGE) framework used to assess the economic impacts of various European Union (EU) policies. The seminar covers three key applications of the model, highlighting its versatility in evaluating the effects of digital, innovation, and energy policies across European regions.

First, the macroeconomic impact of EU digital interventions under the 2021-2027 Digital Agenda will be examined. Over €175 billion in digital investments, including advancements in 5G, AI, and digital infrastructure, are simulated, and their spatial and digital spillovers across EU regions are assessed. This application uses the model with data at the level of EU Member-States.

Second, the impact of Horizon 2020 innovation policy on regional economies will be analyzed. The Rhomolo model, calibrated for 235 EU regions, is used to reveal significant GDP and job creation effects, with regional heterogeneity highlighted by the productivity effects of R&D investment. Policy spillovers through trade, innovation diffusion, and factor dynamics are explored, offering a comprehensive assessment of mission-driven innovation policies.

Lastly, regional rebound effects resulting from energy efficiency improvements will be explored. The Rhomolo model accounts for the interplay between regional economies and energy markets, examining how trade openness, energy intensity, and regional pre-shock conditions influence rebound effects. Opposing views in the literature on short- and long-term rebound effects are reconciled, while insights into the role of regional conditions in shaping energy policy outcomes are provided.

Together, these three applications underscore the capacity of the Rhomolo model to analyze and inform EU policy design, providing policymakers with valuable insights into the economic and regional impacts of digital, innovation, and energy interventions.

The seminar is held in English.

Speakers

Simone Salotti - Guest Speaker

Joint Research Centre

Simone Salotti has been working since May 2018 in the territorial modeling team (TEDAM) of the Joint Research Centre (JRC) of the European Commission in Seville, Spain. He currently leads the team responsible for the RHOMOLO model, which is used for territorial impact assessment in the EU. After obtaining his Ph.D. in Economics from the University of Siena in 2009, he has worked at the following universities Università di Firenze (Italy), National University of Ireland Galway (Ireland) and Oxford Brookes University (UK), where he was Senior Lecturer in Economics before joining JRC Seville. He has recently published in journals such as Regional Studies, Research Policy, Spatial Economic Analysis, Economic Modelling and the Journal of Policy Modeling.

Registration

Registration to this event is mandatory.

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