From type theory to setoids and back

A model of Martin-Löf extensional type theory with universes is formalized in Agda, an interactive proof system based on Martin-Löf intensional type theory. This may be understood, we claim, as a solution to the old problem of modelling the full extensional theory in the intensional theory. Types are interpreted as setoids, and the model is therefore a setoid model. We solve the problem of intepreting type universes by utilizing Aczel's type of iterative sets, and show how it can be made into a setoid of small setoids containing the necessary setoid constructions. 
In addition we interpret the bracket types of Awodey and Bauer. Further quotient types should be interpretable.