Social Accounting Matrix Analysis Research Articles

Understanding the economic activity generated by recreational fishing in South Africa provides insights on the role of recreational fisheries for social development

AbstractWhile the economic activity associated with recreational fishing is well assessed in the developed world, substantially less is known in developing countries. South Africa is a unique microcosm for applying economic evaluation frameworks as its dualist economy shares characteristics of both the developed and developing world. Understanding participation levels and the role of dualism in economic activity linked to recreational fisheries is a crucial step towards leveraging the sector for economic development. A total of 1320 face‐to‐face and online questionnaires were used to estimate annual economic spend by recreational fishers, and the economic activity associated with this spend was modelled using Social Accounting Matrix analysis. Recreational fishing participation estimates totalled 1,327,633, which contributed ZAR 32.6 billion (US$2.2 billion) per year to economic activity and sustained 94,070 full‐time jobs. However, less than 10% of the economic activity benefitted lower income households, suggesting that the “first” and “second” economies of this dualist economy are disconnected. This is likely similar in other developing nations with international tourism‐driven recreational fisheries. To reduce this disconnect, changes in tourism policies to focus on local development, the identification of recreational fisheries tourism hotspots and the development of local education, skills and appropriate infrastructure through public–private partnerships will be necessary.

Assessing the economic contribution of sports tourism events: A regional social accounting matrix analysis approach

In the context of tourism, sports are one of the major attractions countries offer. There cannot be the slightest doubt about the relevance of sports activities for the economy. Previous studies assessing the economic impact of sporting events have usually been partial equilibrium studies. This article contributes to the emerging body of literature by explicitly incorporating four categories of sports tourism events (competitions, championships, tournaments, and leagues), so as to study the effects of sports tourism demand on the economic system in terms of income and added value. It further examines their relative, rather than individual, impact on the regional economy of Castile and Leon through a fixed price multiplier model based on the regional social accounting matrix. The results reveal that sports tourism events represent 3.1% of the regional gross domestic product, highlighting the importance of this sector for its economy.

디지털 전환에 따른 경제 및 노동시장 파급효과: 산업연관 및 사회계정행렬 분석을 중심으로

디지털 전환의 개념적 정의와 발현 양상을 고려하였을 때, 디지털 전환 파급효과 분석은 산업 및 제도 부문 간 연관관계를 고려하여 이뤄질 필요가 있다. 이에 본 연구에서는 산업연관표 및 사회계정행렬 수립을 바탕으로, 디지털 전환이 한국의 산업 및 경제구조에 미치는 영향을 살펴보고자 하였다. 분석 결과 디지털 전환 중심 산업은 1990년 이후 타 산업에서 중간재로 활용되는 정도가 지속적으로 증가하여, 경제 내 중요한 부문으로 자리잡았음을 파악할 수 있었다. 디지털 전환 중심 산업에 대한 투자 확대 효과를 분석한 결과, 산업별 영향이 다르게 나타남을 확인했으며, 요소소득 분배구조에 대한 분석을 통해 디지털 전환 확산이 자본편향적, 숙련편향적 기술진보의 특성을 보일 수 있음을 알 수 있었다. 본 연구는 디지털 전환의 개별 기술에 집중하지 않고, 디지털 전환의 확대에 의한 산업 및 경제구조의 변화를 경제 체계 내 주체들의 상호작용을 고려하여 살펴보았다는 의의가 있다. 또한, 디지털 전환 확산에 따른 생산요소 시장 내 분배구조에 미치는 영향을 파악함으로써, 디지털 전환에 대응한 시의적절한 산업별, 노동 수준별 정책이 필요함을 강조하고자 하였다.

Price transmission mechanism and socio-economic effect of carbon pricing in Beijing: A two-region social accounting matrix analysis

Cities are important bases of economic development. It is essential to explore carbon mitigation efforts at the city level, particularly in developing countries with large quantities of energy consumption and carbon emission. This study has focused on the impacts of carbon pricing on sectoral prices and the carbon price transmission mechanism across sectors and along price-transmitted paths, taking the city of Beijing, China, as a case. A two-region social accounting matrix for China in 2012 was built, with one region being Beijing, and the other region representing the rest of China (ROC). The SAM price model and structural path analysis were employed to calculate both the extent of and the detailed price transmission of each sector in Beijing when carbon pricing was implemented just in Beijing or in the whole of China. The results show that the growth of prices is not serious and that the Electricity & Heating Production and Supply Sector in both Beijing and the ROC contributes most to the price growth in almost all sectors in Beijing. The price-transmitted paths starting from Non-metallic Mineral Products and Smelting and Pressing of Metals in ROC transmit the carbon price quickly and directly by the shortest paths. While the price-transmitted paths routed by Electricity & Heating Production and Supply Sector, Transport Service, and Other Services will show far-reaching effect.

Structural path analysis of India's carbon emissions using input-output and social accounting matrix frameworks

While input-output (IO) tables have been widely employed to study energy and environmental issues, Social Accounting Matrix (SAM) which further considers the interactions of the production system, primary factors, households and social institutions in the economy is rarely seen in this field. This paper thus compares the transmission dynamics under an IO framework and a SAM framework with the help of structural path analysis (SPA) technique, which decomposes the IO and SAM analysis results by extracting the interconnections in the economic system. A case study is performed to investigate India's carbon emissions based on its latest publicly available IO and SAM tables. As the fourth largest emitter in the world, India's large population base, fast population growth and huge unmet demand imply a surge of carbon emissions following future economic development. There have been a few studies on India's energy and emission issues using IO tables, but more research from different perspectives is still needed to better support policy making. This is the first study on India's carbon emissions under a SAM framework and using SPA techniques, and also the first study that extends the use of SPA by transmission path to the energy and environmental literature.

The Prospect of Agribusiness in The Indonesian Economy

This paper argues that a strong agriculture sector is needed by the economy to rapidly grow. However, it is not sufficient. A strong agriculture sector can sustainably support the economic growth only if there are economic sectors that sufficiently demand commodities produced by the sector. The result of an analysis of Social Accounting Matrix (SAM) shows that agribusiness, or more specifically small and medium scale agriculture based industries, is the key for enhancing the performance of the economy. Agribusiness can also considerably improve the income of poor rural people and significantly create employment. Therefore, it would result in a better income distribution.

Simulating Indonesian fuel subsidy reform: a social accounting matrix analysis

The debate over phasing out fuel subsidies in Indonesia is quite intense. Recent studies pointed out an unfair distribution of subsidies. Besides this, the burden of fuel subsidies to Indonesian government is expected to increasingly continue in parallel with rising fuel consumption as well as international oil prices. However, recent experiences indicated that phasing out the fuel subsidy could potentially result in adverse effects in the economy. Then, the need for comprehensive economy-wide analyses in order to reveal diverse impacts of these subsidies, has emerged. The main objective of this study is to estimate the impacts of fuel subsidies from the economic, social, and environmental perspective, and to propose policy options for a subsidy reform. For this purpose, a social accounting matrix model is employed to simulate the impact analysis. Scenarios including reallocation of subsidy to either other sectors (sectoral subsidy) or income groups (target subsidy) are simulated and the social, economic and environmental impacts of these scenarios are presented. The results show that reallocation of fuel subsidy to other sectors will be able to positively increase the overall economic development, while compromising environmental aspects. The direct reallocation of subsidy to the low income households, on the other hand, will slow down overall economic development but show a positive result for social welfare.

Rural–urban Linkages for Development of Rural Economy in Assam: A Social Accounting Matrix Approach

There is always a close and very complex linkage between rural and urban areas. However, failure to properly harness the linkages between rural and urban sectors does not help either rural or urban. To counter this and to ensure development of rural economy, strengthening the linkage between rural and urban areas is important. Studies have identified that promotion and enhancement of food-processing industries is a major key to strengthen rural–urban linkages for development of rural economy. In this article, an attempt has been made to examine the means to increase the strength of rural–urban linkages by promoting agriculture–industry interface for development of rural economy in Assam, a state of the North East India. A social accounting matrix analysis has been carried out to examine the impact of a food processing industry on a neighbouring village of the food processing industry for proper/fruitful rural–urban linkages in the state. The positive economic impact of the industry on the village confirms the enormity of impact a food processing industry can have on the neigbouring villages. The article concludes by advocating for setting up of more food processing industries in Assam for reducing rural–urban divide and ensuring development of rural economy.

The distributive economic impacts of Hawaii's commercial fishery: A SAM analysis

Social Accounting Matrix (SAM) models include a comprehensive accounting of regional income and institutional factors, and are intended to be capable of assessing distributional analysis. However, in practice, studies generally construct models that are not appropriately designed to capture income linkages. In this study, we demonstrate the use of SAM modeling to assess the income distribution linkages of Hawaii's commercial fishery sector. We identify the distributional characteristics of the economic impact from the fishery industry by mapping industry labor inputs to a state level occupational matrix prior to the linking of household accounts. The distributional analysis of the SAM indicates that Hawaii's longline sectors impact middle income groups most significantly with modest linkages to lower income groups.

Assessing the importance of international tourism for the Turkish economy: A social accounting matrix analysis

The international tourism sector has grown rapidly in Turkey since the 1980s and Turkey ranks among the top ten countries in terms of tourist arrivals and receipts. Previous studies on international tourism in Turkey are partial equilibrium studies which emphasized the importance of the sector for foreign exchange earnings, employment creation, and economic growth. The social accounting matrix (SAM) modeling approach is superior to partial equilibrium analysis as it takes into account intersectoral linkages. This paper analyzes the contribution of international tourism to the Turkish economy using two SAMs for 1996 and 2002, respectively. Two analyses are conducted using the SAM impact model: (i) sectoral comparison of GDP elasticities, and (ii) SAM impact analysis of international tourism on output, value-added, and employment. The results show that the GDP elasticity of international tourism is relatively low and the impact of foreign tourist expenditures on domestic production, value-added (GDP), and employment in Turkey are modest. The results imply the possibility of leakage of foreign tourist expenditures out of the economy.

Energy intensities and CO<SUB align=right>2 emissions in Catalonia: a SAM analysis

In this paper, we estimate sectoral energy intensities and CO2 emissions for the Catalonian economy. In order to evaluate energy intensities, we use the SAM (Social Accounting Matrix) multiplier analysis applied to a SAM of the economy. CO2 emissions are estimated by means of the Leontief input-output submodel of the SAM, together with a table of coefficients of emissions per unit of monetary expenditures. This new methodology allows us to dispense with energy input-output tables for the base period. Our results are of the same order of magnitude as others obtained by physical measurement methods. We also simulate how changes in demand and energy energy efficiency parameters may affect CO2 emissions for the economy.

A Financial Social Accounting Matrix for the Integrated Macroeconomic Model for Poverty Analysis: Application to Cameroon with a Fixed-Price Multiplier Analysis

Cameroon is engaged in the Poverty Reduction Strategy Paper (PRSP) process, which emphasizes increased focus on poverty reduction in the design and implementation of growth and adjustment strategies. The Integrated Macroeconomic Model for Poverty Analysis (IMMPA) recently developed at the World Bank provides an analytical structure for supporting the PRSP process and quantifying poverty reduction strategies. Drawing on that framework, the authors provide a detailed financial social accounting matrix (SAM) for the Cameroonian economy to serve as input into the construction of an IMMPA model for Cameroon. An analysis of this financial SAM shows that the dramatic fall in investment during the crisis period persisted in the post-devaluation growth period in the late 1990s. Continued low investment has implications for ongoing high unemployment rates and poor welfare indicators. The authors illustrate this with simulations based on fixed-price multiplier analysis that highlight the potential growth and welfare benefits of increased public investment, following hypothetical debt relief and reduction of external debt servicing within the framework of the heavily indebted poor countries initiative.

Growth and distribution in Russia and China: A Social Accounting Matrix analysis

The paper reports on the multiplier analysis of comparable Social Accounting Matrices for Russia and China. The benchmark is around 1990, which constitutes a crucial year in their transition to more mixed market-state economies. Growth multipliers in China are found to be higher than in Russia, reflecting more intensive and balanced circular flow interactions. Distribution multipliers are less regressive in China than in Russia, which reflect stronger trickle-down effects and weaker leakage-up effects in the income and expenditure patterns of rich and poor household groups in China as compared to Russia.

Moving Beyond the Modeling of Regional Economic Growth: A Study of How Income is Distributed to Rural Households

This article discusses the use of regional economic modeling techniques to determine the household income distribution impacts associated with various economic sectors. Determining the distributional characteristics of economic sectors requires identifying the relationship between aggregate factor income change and its distribution to local households. Social accounting matrix analysis provides an analytic framework to track the flow of income from local productive activities to households differentiated by income category. Its use is illustrated with an analysis of alternative economic development strategies for a rural region. To the extent that local economic develop ment policy can differentially influence the level of local productive activity, it becomes possible to assess who benefits by economic growth. Incorporating information related to income distribution allows local policy makers to move beyond the pursuit of aggregate economic growth to incorporate additional objectives that are important to overall regional development.

A Multiplier Analysis of Regional Social Accounting Matrix (SAM) Model for Indonesia

The aim of this paper is to analyze the Indonesia's inter regional linkages with the regional SAM. For this purpose, we estimated a regional social accounting matrix of Indonesia for the year 1995, which has 75 sectors of account and three divided regions of Indonesia; Sumatra, Java and the rest of Indonesia. The whole system of SAM can be decomposed into four subsystems, three endogenous and one exogenous: production factors, institutions, production activities and everything else. Three endogenous groups of the accounts derive their incomes from initial injections into the economy through multiplier processes. The multiplier matrix of SAM can be decomposed, as is well known, into multiplicative or additive components; an intra group effects, an inter group effects and an extra group effects.At first, we calculate the multipliers and then the traditional multiplier analysis of SAM is carried out by using the regional SAM of Indonesia. Secondly, we examine the input-output linkages between two different regions by way of the third regions with the regional SAM. They can be even used to calculate not only regional repercussions effects but also inter group repercussions effects, if you permute the regional SAM according to division of regions prior to group division of accounts. The inter regional linkages are also decomposed with the group effects of SAM, which makes the transmission mechanism of inter regional linkages much more clear and concrete. This is called the cross effects analysis of the inter regional and inter group repercussion effects.The cross effects analysis is applied for the Indonesia's regional economy using the complex input coefficient, which was worked out by Ihara [5]. We have calculated complex input coefficients between all the three regions of Indonesia and decomposing them into 3 group effects for finding their transmission processes, but the coefficients only by way of Java are found to be economically significant. The results show that Indonesia still has a distinct Java-concentrated characteristic in all aspects of Indonesian economy, and that Java takes a role of transmitting and amplifying, to some extent, the input-output linkages between the other regions of Indonesia.

Income Distribution Characteristics of Rural Economic Sectors: Implications for Local Development Policy

ABSTRACTRecent trends suggest increasing reliance on private markets to provide for local economic well‐being. This research demonstrates the study of regional household income distribution patterns associated with productive activities important to many rural areas. A social accounting matrix analysis was used to examine agricultural production, agricultural processing, forestry production, forest products processing, and tourism in a small rural region in Wisconsin to illustrate the variable distributional characteristics of private market structures and related local economic development policy. The results showed that while high income households comprised 22 percent of total regional households in the study area, they received between 57 percent and 63 percent of earned income associated with changes in sectoral factor income. Medium income households (34 percent of regional households) received between 32 percent and 41 percent of earned income, and low income households (44 percent) received between 2 percent and 6 percent. The ability of local policy to influence distributional patterns is implied to the extent that local action can facilitate variable growth rates of targeted economic sectors.

Intersectoral linkages in Asian agriculture

AbstractThe objectives of this paper are to provide a comprehensive survey of linkages (emerging from the net increase in income in the agricultural sector) to other sectors of the economy. Production, consumption, employment, saving‐investment and foreign trade linkages are discussed and their measurement and various concepts based on input‐output methodology are outlined. The advances on social accounting matrix analysis and partial input‐output models, in which income distribution is explicitly built‐in, are also considered. The methodology of computable general‐equilibrium models is used to conduct policy analysis in many developing countries. It is suggested that policy simulation before and after policy changes can be performed adequately with the help of computable general‐equilibrium models. It is, however, asserted that in developing agriculture, land reform, new technology and credit institutions can promote agricultural growth faster than employment growth leading to increases in productivity growth. This will presumably generate incomes and consumption growth intersectorally and also reduce inequality in the distribution of income if the government policies are correctly implemented.

A social accounting matrix analysis for The Netherlands

The paper reports on a social accounting matrix of the Netherlands for 1978. After a brief description of the estimation of the SAM, and a specification of exogenous and endogenous accounts in the SAM, overall accounting multipliers are examined, and decomposed in terms of transfer, open-loop and closed-loop effects.

Structural decomposition of multipliers in input-output or social accounting matrix analysis

Cette note fournit une démonstration algébrique du «théorème de l’influence», lequel permet une décomposition particulièrement intéressante des multiplicateurs obtenus par l’analyse input-output ou par l’analyse de matrices sociales comptables. Ce théorème a été établi par R. Lantner (1974) et démontré par J. Gazon (1976) dans le cadre de leur analyse structurale.