Hypothetical integration in a social accounting matrix and fixed-price multiplier analysis

Arbeitspapier

This study proposes a simple modification to a Social Accounting Matrix (SAM) in order to analyze the multiplier effects of a new sector. A different input composition, or technology, of the sector makes a conventional analysis of final-demand injections on existing sectors invalid. We show that the modificationso-called hypothetical integrationis an efficient way to incorporate the difference into the SAM, rather than costly full-scale rebalancing. We apply this method to the case of the Expanded Public Works Programme in South Africa, and show that the proposed approach effectively represents the labor intensity requirement of the program and a new-factor income distribution.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Working Paper ; No. 552

Classification and Topics

• Classification: Wirtschaft ; Input-Output Models ; General Equilibrium and Disequilibrium: Input-Output Tables and Analysis ; Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity ; Fiscal Policy ; National Government Expenditures and Health ; National Government Expenditures and Education
• Subject: Hypothetical integration ; multiplier analysis ; social accounting matrix ; social sector intervention ; Expanded Public Works Programme, South Africa

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Kim, Kijong
• Event: Veröffentlichung
• (who): Levy Economics Institute of Bard College
• (where): Annandale-on-Hudson, NY
• (when): 2008

Further information

• Handle: http://hdl.handle.net/10419/31560
• Last update: 10.03.2025, 11:45 AM CET