global N=12;    % the number of regions
global alpha=.8*ones(N,1);  % labor income share, see http://www.cbs.nl/nl-nl/menu/themas/bedrijfsleven/dienstverlening/publicaties/artikelen/archief/2005/2005-1782-wm.htm
alpha_= alpha.^(-alpha).*(1-alpha).^(alpha-1);
global r=1;
global beta=0.85;    % share of income going to consumption instead of housing; see http://www.cbs.nl/nr/rdonlyres/c2d4deda-deff-49e0-8861-f4a4b48f320c/0/2004a134pub.pdf page 80
global L w K A tau pensshare pens;
L=[.358800;.384000;.287445;.668658;.227683;1.196431;.728485;1.636063;2.129146;.224501;1.487597;.695510];
pop=[.574042;.642230;.484481;1.113529;.370656;1.975704;1.171291;2.606584;3.458875;.380186;2.415946;1.131938];
pens=[.084627;.097390;.079448;.159101;.032627;.285001;.147339;.359609;.488150;.064994;.344036;.185028];
w=ones(N,1);  
global sumK=3;
K=sumK*ones(N,1)/N;
global lambda=20;
A=ones(N,1);
tau = [1.01769 1.04185 1.03218 1.08203 1.0775 1.09961 1.13052 1.12757 1.18486 1.23335 1.164 1.18021;1.04163 1.01896 1.04435 1.05564 1.03481 1.08626 1.09796 1.08076 1.13545 1.1954 1.14019 1.16207 ;1.04004 1.04295 1.01645 1.02762 1.07232 1.06704 1.08961 1.10315 1.16392 1.21007 1.11838 1.13762; 1.08481 1.05252 1.03042 1.02097 1.03649 1.0323 1.08748 1.09651 1.15244 1.18432 1.10634 1.14354; 1.08 1.03361 1.07357 1.04182 1.009 1.03801 1.04534 1.03443 1.08174 1.15793 1.09266 1.13855; 1.10268 1.08508 1.07118 1.03735 1.03639 1.02078 1.0363 1.08131 1.08588 1.10721 1.04038 1.05424;1.13282 1.09482 1.08991 1.09126 1.04606 1.04203 1.02653 1.0457 1.04777 1.11307 1.06853 1.11411;1.13319 1.08371 1.1066 1.10081 1.04095 1.08761 1.04587 1.02241 1.04911 1.14197 1.10211 1.1532;1.18885 1.13393 1.16596 1.15618 1.08771 1.08797 1.04808 1.05163 1.02463 1.07123 1.05581 1.14403;1.23461 1.18837 1.21184 1.1826 1.15688 1.10938 1.11174 1.14439 1.07011 1.01246 1.05411 1.13014;1.16535 1.14038 1.12113 1.10592 1.08814 1.0396 1.06147 1.0958 1.05538 1.05555 1.02293 1.05154;1.1788 1.16443 1.13526 1.14579 1.13583 1.05892 1.10618 1.14338 1.14082 1.13448 1.04937 1.01689];
koopsom=[180582;198409;215016;211163;206922;254527;277357;272854;233291;191830;261414;200339];
global mu=30;
H=ones(N,1);   % housing stock
Hp=ones(N,1);  % housing rent flow
global eta=0.5;

pensshare=pens/sum(pens);
prov=["Groningen";"Friesland";"Drenthe";"Overijssel";"Flevoland";"Gelderland";"Utrecht";"Noord-Holland";"Zuid-Holland";"Zeeland";"Noord-Brabant";"Limburg"];