Individual skill
ecopol-theory-model
Use when building or tightening the conceptual frame or quantitative model that disciplines an Economic Policy (EP) manuscript's policy logic. Keeps the model minimal-but-honest and legible to a policy audience; it does not invent evidence or citations.
Economic-Policy-Skills/skills/ecopol-theory-model/SKILL.md
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# Theory and Model Craft (ecopol-theory-model)
## When to trigger
- The empirical results need a model to map estimates into a welfare or policy-cost statement
- A quantitative/structural model runs the counterfactual policy but its mechanism is opaque to a non-specialist
- The model is more elaborate than the policy question requires (a discussant will ask "why all this machinery?")
- The counterfactual policy scenario is computed but the policymaker cannot see *which assumption* drives the headline number
- Reviewers/discussants want the welfare interpretation, not just reduced-form effects
## EP's model standard: minimal, transparent, policy-bearing
EP is not a theory journal. A model earns its place only if it does policy work: it converts estimates into **welfare, fiscal cost, or distributional** statements; it disciplines a **counterfactual policy**; or it clarifies a **mechanism** that the reduced form cannot. The house style is accessible, so the model in the main text should be the **smallest model that carries the policy conclusion**, with derivations and extensions in the technical appendix. Two tests every EP model must pass:
