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The computable general equilibrium model (CGE) analyzes resource reallocations (e.g., changes in river flows as represented by increased or decreased hydroelectric generation) in a manner such that the net effects, not just the total effects, are calculated, Given this capability, the CGE is able to estimate net national efficiency impacts at the national level. National economic efficiency effects refer to the overall net effects on the national economy after the effects of interregional transfers have been accounted for. The goal of a national efficiency analysis is to determine whether a proposed action would have an overall positive or negative impact on the national economy. National economic efficiency impacts were analyzed in this study using a CGE model. The model captures the economic interactions of consumers, the production sectors, and the government sectors. THE MODELING APPROACH A set of input-output (1-0) models was developed as part of a staged investigation, where each was stage developed to address a particular issue. During the initial stage, a separate 1-0 model was developed for each of the States in the affected region: Arizona, California, Colorado, Nevada, New Mexico, Utah, and Wyoming. These models focused on the impacts that are generated by species listing and proposed critical habitat designation within each individual State. In most cases, impacts in a given State generated impacts in neighboring States. Thus, it was necessary to investigate potential by offsetting impacts. As a result, a second model was constructed which investigated the impacts of the entire region (all seven States included), The first two model stages provide estimates of the State and regional-level economic impacts. The third stage involved the development of a CGE model for the economies of the seven-State area and the rest of the U.S. This model provides a comprehensive aggregate assessment of the national economic efficiency impacts. Without Fish and With Fish Scenarios Without Fish Scenario The without fish economic scenario analyzed in this study consists of projections, over the study period, of the level of economic activities that would be observed if no action were taken to recover the endangered fishes. The study period of analysis chosen to reflect the recovery projections for the endangered fishes was 1989 through 2020. Economic activity under the without fish scenario was estimated using Impact Analysis for Planning (IMPLAN) 1982 Qata sets updated and projected through the year 2020 using data from the Bureau of Economic Analysis of the U.S. Department of Commerce. These economic projections formed the without fish scenario for determining the impacts due to proposed critical habitat. 21