Andalusian Economy Research Articles

The Fruit and Vegetable Sector in Andalusia (Spain): Key in Terms of Linkages and the Effect of Economic Multipliers?

The agriculture, livestock, forestry, and fishing sectors are very important in Andalusia (Spain), being strongly focused on foreign markets, which has required them to make great efforts to improve their competitiveness. The aim of this work is to understand the interrelationships between the fruit and vegetables sector and the remaining sectors of the Andalusian economy, as well as knowing its multiplying effects on production, income, and employment. To this end, the input-output tables of Andalusia for 2016 will be used in order to know if it is a key sector and how it can help to establish economic policy objectives. Regarding forward linkages, the branches that most demand fruit and vegetable products are the industries related to other food products, and the preparation of canned fish and vegetables. In relation to backward linkages, they focus on the manufacture of basic chemicals, and other agricultural crops and services. Despite its importance in Andalusian agriculture, the fruit and vegetable sector is not considered a key sector according to the Rasmussen coefficients, as it is classified as an independent industry. The reasons may be that it uses few primary inputs, is poorly integrated with the rest of the productive sectors, and its production is destined to satisfy final demand (national and international). However, it generates an above average impact on the economy in most multipliers, being important for stimulating economic policy measures.

Horses in Andalusia

This brief research was devoted to studying a topic that the researchers did not cover much, as the historical sources did not provide us with sufficient information about horses in Andalusia. The Andalusian environment had an important role in the revival of horse breeding, as the abundance of grasses, the presence of forests, the different surfaces and climate in Andalusia, and the Andalusian society’s desire to practice agriculture and animal husbandry, all of this was a motive for Andalusia to have many pastoral areas that helped in raising animals such as horses, mules and donkeys, and it flourished. The livestock boom greatly contributed to the Andalusian economy and its development. The presence of the appropriate environment and the abundance of pastures in Andalusia led to the prosperity of horse breeding and its uniqueness with special specifications and distinctive capabilities that distinguished it from the rest of the Arab horses. Its uses have varied, especially in the fields of war and combat, the preservation of the country and the control of security. It is inevitable and unavoidable, which the rulers of Spain were aware of. So, rulers imposed a severe restriction, accompanied by the imposition of a heavy tax on the trade of horses and mules, especially those entering Islamic cities, and they were keen that the horses would not fall into the hands of Muslims, for fear that they would be used for military purposes and to carry out military operations against the Christian kingdoms. The study was organized with an introduction, two sections, and a conclusion. The first topic bore the title of the Andalusian environment and its impact on horse breeding, devoted to explaining the role of the Andalusian environment in horse breeding, with reference to the types of horses and the diseases that affect them. The joints of public life and its role in peace, war, gifts and diplomatic missions. Finally, the conclusion embodies the most prominent findings of the study, relying on the descriptive historical method, and analyzing what can be analyzed.

The economic impact of a tourist tax in Andalusia examined through a price effect model

ABSTRACT The tourism industry is a key sector in the Andalusian economy; it accounts for 13% of the regional GDP and 14% of the employment. In 2019, 32.5 million tourists visited Andalusia, and the tourism sector generated 22.6 billion euros. In 2020, the year in which COVID-19 paralysed the world, 13.4 million tourists visited Andalusia, which translated into 8,500 million euros of income. After this decrease in tourism in 2020, the total number of tourists for the year 2021 was 20 million, and the forecast for the year 2022 is 28 million tourists. This article analyzes how to use a social accounting matrix (SAM) to empirically study the effects of such a price burden on the regional economy of Andalusia. The methodology that we use consists of a specific model of price effects, which analyzes the impact of introducing a tourist tax in Andalusia. The database used in the analysis is the Andalusian SAM, which was built using data from 2016. This study will enable us to better understand and reflect on the existing structural interdependence between the productive sectors and to evaluate the implicit weights and price elasticities of different tourist items.

Assessing the economic and environmental consequences of the COVID-19 tourism collapse in Andalusia: what lessons can we draw for South-East Asian regions?

This paper presents a simulation exercise undertaken with a newly available regional general equilibrium model for the Spanish region of Andalusia. The exercise is intended to assess the structural adjustment processes and impacts on the Andalusian economy directly induced by the dramatic fall in tourism expenditure which occurred in the year 2020, due to the prevention measures implemented because of the COVID-19 pandemic. We also undertake a preliminary evaluation of the impact on some environmental indicators, such as greenhouse gases emissions and air pollutants. The key insight emerging from our analysis is that the COVID crumbling of tourism demand reduces the environmental pressure but also generates very relevant distributional consequences. We believe that these insights are not peculiar to Andalusia but could be extended to many other regions in the world, especially those similar in terms of magnitude of the shock, economic structure, and labor market. We illustrate the latter point by contrasting Andalusia with a set of South-East Asian countries.

Clariant sets new 2025 financial targets and announces step-up in growth and profitability

Gibrat’s Law – also called law of proportionate effect – states that the size of a company does not influence its economic growth. The present article aims at testing the validity of this law on all companies based in the autonomous region of Andalusia (Spain). The study uses data on employment compiled by the Instituto de Estadística y Cartografía de Andalucía for every company belonging to the two-digit NACE code, with yearly data for the 2000 to 2015 period: 7,046,539 firms in total. The results obtained allow to identify by sector the impact of size on business growth, to check compliance in this relevant region of the European Union and analyse the influence of the recent economic/financial crisis in terms of Gibrat’s Law validation. In general terms, the degree of compliance with the law is limited in the analysed period, even more so in the years of economic crisis. We have fitted the double Pareto log-normal distribution to our data. That distribution fits well the firm’ size distribution in many sectors of the Andalusian economy. Thus, these sectors would follow a Yule process. At the aggregate level, the sectors of the Andalusian economy that comply with Gibrat’s law also follow a Yule process.

Impact assessment of Covid-19 on the tourism sector in Andalusia: an economic approach

ABSTRACT The goal of this study is to analyse with an economic approach the impact assessment of COVID-19 on Andalusian tourism through the input-output methodology using the social accounting matrix (SAM). Tourism is one of the key sectors of the Andalusian economy, representing 13% of regional GDP and 14% of employment. We observe how the GDP reacts to possible changes in tourism, specifically to two possible situations: a pessimistic situation with a fall of 68% and an optimistic situation with a fall of 65%. To do so, we use the most recent SAM built for 2016, with an approximation for 2020, and a linear applied general equilibrium approach. This will allow us to have a first approximation of the real effect of the drop in the tourism sector in Andalusia.

The effects of COVID-19 on Andalusian tourism and aviation sector

Los efectos del COVID-19 en el turismo y sector aéreo andaluzObjetivoEste estudio tiene la finalidad de analizar los efectos del COVID-19 en las aerolíneas, aeropuertos y el destino Andalucía. Sobre esta base, el estudio ha valorado la quiebra de algunas aerolíneas, el cierre y reducción de la frecuencia de rutas aéreas, las medidas COVID-19 en los aeropuertos por parte de los gobiernos, etc., con la finalidad de adaptarse a las nuevas circunstancias, ser eficientes y planificar sus recursos según la demanda.Diseño/metodología/enfoqueSe realiza una revisión de la literatura relevante sobre el impacto del COVID-19 en la industria de la aviación, los aeropuertos y el sector turístico para comprender el vínculo entre ellos. El artículo comienza explicando los efectos de la pandemia en la industria de la aviación y analiza su impacto en la región de Andalucía. Este estudio utiliza datos secundarios de IATA, AENA, EUROCONTROL, INE, OAG, UNTWO, etc., para respaldar los resultados de la investigación.ResultadosLos resultados de los efectos de la pandemia en Andalucía están siendo devastadores y este destino depende en gran medida del turismo. La drástica caída de la frecuencia de vuelos en los aeropuertos durante la pandemia ha provocado un descenso medio del −65% en las llegadas de pasajeros en los seis aeropuertos andaluces hasta octubre de 2020, es decir, 23 millones de pasajeros, demasiados pasajeros para una economía andaluza que depende principalmente del sector turístico.Originalidad/valorEl estudio contribuye a evaluar los efectos del COVID-19 en el sector aéreo y los destinos turísticos. Ambos sectores resurgirán a medio plazo y a distintas velocidades en diferentes regiones. La contribución de este estudio es fundamental para que los gestores y operadores de aerolíneas, aeropuertos y destinos turísticos tomen mejores decisiones futuras.

Firm growth in the 21st century: Does the Andalusian economy comply with Gibrat’s Law?

Gibrat’s Law – also called law of proportionate effect – states that the size of a company does not influence its economic growth. The present article aims at testing the validity of this law on all companies based in the autonomous region of Andalusia (Spain). The study uses data on employment compiled by the Instituto de Estadística y Cartografía de Andalucía for every company belonging to the two-digit NACE code, with yearly data for the 2000 to 2015 period: 7,046,539 firms in total. The results obtained allow to identify by sector the impact of size on business growth, to check compliance in this relevant region of the European Union and analyse the influence of the recent economic/financial crisis in terms of Gibrat’s Law validation. In general terms, the degree of compliance with the law is limited in the analysed period, even more so in the years of economic crisis. We have fitted the double Pareto log-normal distribution to our data. That distribution fits well the firm’ size distribution in many sectors of the Andalusian economy. Thus, these sectors would follow a Yule process. At the aggregate level, the sectors of the Andalusian economy that comply with Gibrat’s law also follow a Yule process.

The COVID Crumbling of Tourism in Andalusia: An Assessment of Economic and Environmental Consequences

This paper presents a simulation exercise undertaken with a newly available regional general equilibrium model for the Spanish region of Andalusia. The exercise is intended to assess the structural adjustment processes and impacts on the Andalusian economy directly induced by the dramatic fall in tourism expenditure which occurred in the year 2020, due to the prevention measures implemented because of the COVID-19 pandemic. We also undertake a preliminary evaluation of the impact on some environmental indicators, such as greenhouse gases emissions and air pollutants. The key insight emerging from our analysis is that the COVID crumbling of tourism demand generates very relevant distributional consequences.

AGRARIAN EXTRACTIVISM AND THE AGRO-FOOD INDUSTRY IN ANDALUSIA

This study characterizes the Andalusian economy as an extractive economy. First, we alalyze the historical conditions that shaped the dependent position of Andalusian capitalism and consolidated a productive structure based mainly on the extraction of resources from nature, such as in the agriculture and agri-food industries. Next, we study how the extractivist model in Andalusia operates in the 21st century by analyzing its basic features: the intensification of monocultures as agro-export platforms, the power of large distribution in value chains and the institutional drive toward second-degree cooperativism as a response. Among the main impacts of this model we highlight the impoverishment and loss of food sovereignty in the Andalusian region

A Social Accounting Matrix for Andalusia

We present the structure and the process of construction of a social accounting matrix for the Spanish region of Andalusia, for the year 2016. The SAM includes 359 accounts with their respective balances of revenues and expenses, and distinguishes exchanges and income transfers between Andalusia, the rest of Spain and the rest of the world. As the dataset provides a detailed summary on the economic structure, we illustrate some key characteristics of the Andalusian economy at the year 2016, by presenting some relevant statistics and indexes.

La competitividad de la economía analuza y sus sectores exportadores

En un mundo cada vez más globalizado, el sector exterior tiene cada vez más importancia para las economías, y la andaluza no es una excepción.
 Esta investigación se plantea como objetivo general conocer el comportamiento de las exportaciones andaluzas entre 2006 y 2013 según las bases en las que se asienta su evolución en el territorio y en relación a sus empresas. Para lograr este objetivo, se probó el comportamiento de las exportaciones de mercancías (capítulos arancelarios) andaluzas en términos absolutos y relativos respecto a la UE-28. A continuación, se trata de descubrir el comportamiento competitivo y / o dinámico de los sectores exportadores (capítulos arancelarios) aplicando la técnica shift - share, relacionando los resultados con la cuota de mercado, así como el grado de especialización exportadora de cada sector respecto a la UE-28. Por otro lado, se comprobó el papel desempeñado por las empresas en dicho proceso exportador.
 Las principales averiguaciones indican que durante el periodo analizado las exportaciones andaluzas crecieron en términos absolutos y relativos. Este incremento fue posible gracias al proceso de internacionalización del sector empresarial andaluz que incluye un aumento importante del número de empresas exportadoras y de mercados. Y como última conclusión, este crecimiento se debe, sobre todo, al comportamiento de once sectores exportadores que fueron, a la vez de ser dinámicos y competitivos, sectores en los que Andalucía está especializada.

The Andalusian Tourism Sector during the Economic Crisis and its Impact on Regional Development

It is not common practice to assess tourism’s effects on regional development, although its benefits for host economies are widely known. This paper attempts to discern such activity’s role in a geographic setting by applying structural analysis techniques based on social accounting matrices (SAMs). This methodological approach is applied to the case of Andalusia during the period 2010-2014, encompassing both the financial crisis period and the apparent resurgence. The research aims to reflect on the andalusian economy from the perspective of tourism and know its impacts on the regional territory. The proposed methodology is applied to a region where tourism became more prominent during the financial crisis. The results indicate that tourism’s significance in the host economy is due its own particular behaviour and also to the performance of other economic sectors during the study period. Tourism has shown considerable carry-over capacity in the territory, although challenges have arisen in employment, demand and technological density aspects. All of them should be addressed so that tourism can provide a sustainable support for regional development. Tourism sector’s appeared as a strategic sector, partly due to its specific performance, though also to the other sectors’ performance, either declining industries such as construction or with lighter presence, as in the case of industrial activities. Tourism has also shown itself to be a pro-cyclical sector, with landmarks. Yet the tourism sector has shown proven resilience and a considerable ability to foster economic development in the territory.

Labour Costs and External Competitiveness of the Andalusian Economy (2007-2014)

The aim of this paper is to analyse the evolution of Andalusian economy’s external competitiveness. For that purpose, two main research dimensions are examined: first, the relationship between unit labour costs and Andalusia’s export performance at an aggregate level; second, indicators of both business, and public sector behaviour in the determinant areas of the regional competitive position at a microeconomic level. The analysis of the evolution of the variables in the economy will be carried out in comparison with several surrounding economies and regions. The results suggest that despite the strong downward trend followed by labour costs, at the moment, the crisis has not become an opportunity to substantially improve the positioning of the regional economy.

A simulation of impact of withdrawal European funds on Andalusian economy using a dynamic CGE model: 2014–20

This is the first time that European Regional Policy will not consider Andalusia as one of the Objective 1 priority areas. Thus, this paper analyzes the economic impact of the withdrawal of a large amount of European Structural Funds from the Andalusian economy in the 2014–2020 Community Support Framework. A Dynamic Applied General Equilibrium Model is developed to assess the effects of the loss of this funding on the main regional economic indicators and under different simulation scenarios. The model analyzes the effect of economic policy actions on the economy, satisfying the requirements of welfare and technological feasibility when given some restrictions on available resources.

Energy Intensities and Carbon Dioxide Emissions in a Social Accounting Matrix Model of the Andalusian Economy

SummaryThe aim of this article is to calculate energy intensity and carbon dioxide (CO2) emissions in Andalusia, the largest and most populated region of Spain. Energy intensities for five energy commodities used in production activities are calculated using a social accounting matrix (SAM) model with three alternative scenarios, each utilizing differing closure rules. More interestingly, by using 2005 data and updating the values of exogenous accounts, the article also provides estimates of CO2 emissions ten years out from the 1995 base year. Finally, counterfactual experiments are performed to quantify the overall reduction in direct energy coefficients that would have made it possible to maintain constant production‐sector emissions from 1995 to 2005. The results indicate that there is a strong interdependence among energy sectors and the most intensive energy users; they also indicate the importance of induced effects when factor accounts and private consumption are endogenous. The estimates obtained concerning CO2 emissions are close to official estimates, both from 1995 and 2005. The counterfactual experiments indicate that a 26.5% cut in the size of direct energy requirements would have made it possible to maintain constant emissions. They also indicate that efforts to curtail emissions should be focused on improving efficiency in coal extraction and combustion and oil refining.

LINEAR GENERAL EQUILIBRIUM MODEL OF ENERGY DEMAND AND CO<sub>2</sub> EMISSIONS GENERATED BY THE ANDALUSIAN PRODUCTIVE SYSTEM

In this study we apply a multiplier decomposition methodology of a linear general equilibrium model based on the regional social accounting matrix to the Andalusian economy. The aim of this methodology is to separate the size of the different effects in terms of energy expenditure and total emissions generated by the whole productive system to satisfy the final demand of each branch of the Andalusian economy and the direct emissions generated to produce energy for each subsystem.

El Olivar en Andalucía y el sistema de protección de la Unión Europea

El importante papel que tradicionalmente ha tenido el olivar en la economía andaluza se ha acentuado con los procesos de globalización económica. El aceite de oliva andaluz representa más del 36% de la producción mundial. Esta investigación analiza los daños medioambientales que ocasionan los procesos de reestructuración productiva. Igualmente se analiza la desigual distribución de la rentabilidad económica y cómo la gran mayoría de los pequeños agricultores sólo sobreviven gracias al sistema de protección de la UE y a la sobreexplotación del trabajo familiar. De este modo, se estudia cómo el modelo de crecimiento de la producción que ha seguido el olivar andaluz en los últimos años ha provocado impactos ecológicos e importantes problemas de desarrollo para la gran mayoría de los pequeños propietarios.

The andalusian economy in the times of Almanzor. Administrative theory and economic reality through the juridical and geographic sources

El articulo ha sido publicado en ingles (pp. 83-112) y en espanol (pp. 330-344). En este archivo se recogen las dos versiones.

STOCHASTIC ANALYSIS OF INPUT–OUTPUT MULTIPLIERS ON THE BASIS OF USE AND MAKE TABLES

Although technical coefficients are estimated on the basis of flow data (use and make matrices), they are rarely treated as random variables. If this is done, an error term is added to the coefficients, rather than derived from the distribution of the data. Even so, the calculation of multipliers, by means of the Leontief inverse, is difficult. Due to the nonlinearity of this operation, the multiplier estimates are biased. By going back to the flow data, this paper provides unbiased and consistent employment and output multipliers estimates for the Andalusian economy. Rectangular use and make matrices are accommodated and problems associated with the construction and estimation of technical coefficients and the Leontief inverse are circumvented.