A 1998 Social Accounting Matrix for Malawi

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TMD DISCUSSION PAPER NO. 69 A 1998 SOCIAL ACCOUNTING MATRIX FOR MALAWI Osten Chulu Agricultural Policy Research Unit Bunda College of Agriculture Peter Wobst International Food Policy Research Institute Trade and Macroeconomics Division International Food Policy Research Institute 2033 K Street, N.W. Washington, D.C. 20006, U.S.A. February 2001 TMD Discussion Papers contain preliminary material and research results, and are circulated prior to a full peer review in order to stimulate discussion and critical comment. It is expected that most Discussion Papers will eventually be published in some other form, and that their content may also be revised. This paper is available at http://www.cgiar.org/ifpri/divs/tmd/dp.htm

Transcript of A 1998 Social Accounting Matrix for Malawi

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TMD DISCUSSION PAPER NO. 69

A 1998 SOCIAL ACCOUNTING MATRIX FOR

MALAWI

Osten Chulu Agricultural Policy Research Unit

Bunda College of Agriculture

Peter Wobst International Food Policy Research Institute

Trade and Macroeconomics Division International Food Policy Research Institute

2033 K Street, N.W. Washington, D.C. 20006, U.S.A.

February 2001

TMD Discussion Papers contain preliminary material and research results, and are circulated prior to a full peer review in order to stimulate discussion and critical comment. It is expected that most Discussion Papers will eventually be published in some other form, and that their content may also be revised. This paper is available at http://www.cgiar.org/ifpri/divs/tmd/dp.htm

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TMD DISCUSSION PAPER NO. 69

A 1998 SOCIAL ACCOUNTING MATRIX FOR

MALAWI

Osten Chulu Agricultural Policy Research Unit

Bunda College of Agriculture

Peter Wobst International Food Policy Research Institute

Trade and Macroeconomics Division International Food Policy Research Institute

2033 K Street, N.W. Washington, D.C. 20006, U.S.A.

February 2001

TMD Discussion Papers contain preliminary material and research results, and are circulated prior to a full peer review in order to stimulate discussion and critical comment. It is expected that most Discussion Papers will eventually be published in some other form, and that their content may also be revised. This paper is available at http://www.cgiar.org/ifpri/divs/tmd/dp.htm

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Collaborative Research and Capacity Strengthening for Multi-Sector Policy Analysis in Malawi and Southern Africa

Table of Contents

1.0 Introduction and Background ......................................................................................... 1

2.0 Social Accounting Matrices ............................................................................................ 3

2.1 The 1998 Macro SAM for Malawi ................................................................................. 4

2.2 The 1998 Micro SAM .................................................................................................... 9

2.3 Balancing the SAM using a cross-entropy approach ..................................................... 16

References

Appendices

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Agricultural Policy Research Unit, Bunda College of Agriculture1

Trade and Macroeconomics Division, IFPRI2

International Standard Industrial Classification3

For in depth elaboration of Social Accounting Matrices see Pyatt and Round (1985).4

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A 1998 Social Accounting Matrix for Malawi

Osten Chulu and Peter Wobst1 2

1.0 Introduction and Background

The last few years have seen a proliferation of attempts by various institutions to create aframework that would enable analysts to have a broad overview of all transactions in theMalawian economy. A first attempt was made by Lodh and Chulu (1994) to construct a macroaccounting framework using data from the National Statistical Office’s 1990-1991 HouseholdExpenditure and Small Scale Economic Activities Survey and the National Sample Survey ofAgriculture complemented by other data sets such as the Government Budget Estimates,National Accounts and External Trade Statistics. This framework consisted of 9 sectors using1987 as the base year. However, this framework was lacking in detail such that it was extremelylimited in its usefulness as a basis for policy analysis. The main drawback was that it followedthe one digit ISIC classification: agriculture; mining; manufacturing; construction; utilities;3

distribution; transport; financial institutions; and community, social and personal services. Theexercise created considerable interest by various government agencies such that in 1995, anInput-Output survey was commissioned and subsequently conducted by the National StatisticalOffice and the Economic Planning Department which lead to the construction of the firstcomprehensive Input-Output (IO) table for Malawi for the year 1994 (EPD 1996). This formedthe groundwork for the construction of a Social Accounting Matrix (SAM) for Malawi for 19944

(Chulu, Wobst and Brixen 1998). The data from the IO table presented better disaggregation ofagriculture and other sectors. Unfortunately, the SAM relied heavily on household data from the1990-1991 Household Expenditure and Small Scale Economic Activity data which wasrelatively outdated. In addition, there were numerous inconsistencies in macroeconomicstatistics coupled with the fact that 1994 was too distant in the past and that too many structuralchanges had taken place in the interim, rendering some of the macro-relationships obsolete.Further, the year 1994 was not a “normal” economic year for Malawi. There were several eventsand changes that took place during that year that included the following:# a total liberalization of the exchange rate regime which culminated in a huge depreciation

of the domestic currency of over 150%;# price deregulation in all commodities except for maize;# an unprecedented drought which resulted in huge decreases in agricultural production

and hence exports, as well as huge increases in imports of food stuffs;

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The Integrated Household Survey conducted in 1997-98 (NSO 2000).5

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# the Mozambican refugee crisis;# an inflation rate of over 83%;# a large government deficit.

These factors, coupled with the fact that the 1994 Social Accounting Matrix stimulatedincreasing interest by research institutions to further develop it and use it to develop a consistentframework for in depth policy analysis that integrates macro and micro issues led to a rethinkingof maintaining 1994 as a base year. It was decided that 1998, the most recent year for which acomprehensive data set is available and a more normal year, would be the base year for theSAM. The National Statistical Office conducted a major household survey which provided5

information on budget shares, incomes and many other social-economic characteristics ofhouseholds. Moreover, 1998 saw marked improvements in External Trade statistics and NationalAccounts had been rebased to 1994 from 1978. Nonetheless, there are still a lot ofinconsistencies between the various official publications referring to the same variables, forinstance, there are three different values for government consumption from the EconomicReport published by the National Economic Council, the Quarterly Statistical Review publishedby the Reserve Bank, and the Monthly Bulletin of Statistics published by the National StatisticalOffice.

Scope and Structure of the Paper

This paper is part of a broader report covering the macroeconomic policy setting and historicalbackground in Malawi (IFPRI 2000), the Malawi Social Accounting Matrix for 1998 (Chulu andWobst), the documentation of the first Computable General Equilibrium (CGE) model forMalawi (Löfgren 2000a) and simulations with a CGE Model for Malawi on external shocks anddomestic poverty alleviation (Löfgren 2000b). It is part of a collaborative effort between theInternational Food Policy Research Institute (IFPRI) and Bunda College of Agriculture withparticipation from the Reserve Bank of Malawi and The National Economic Council under theproject Collaborative Research and Capacity Strengthening in Malawi and Southern Africafunded by the German BMZ. One of the main areas of focus of this project has been to developa tool that would facilitate the exploration of the effects of external shocks and domestic policychanges aimed at poverty alleviation (Löfgren 2000b) using a SAM based CGE model.

The paper is structured as follows: The first section gives the introduction, including the scopeand structure of the paper. The second section of the paper provides a description of the 1998SAM for Malawi, containing a subsection on the aggregated SAM, herein called the Macro SAMand a subsection on the construction of the disaggregated SAM, herein called the Micro SAM.This subsection presents the datasets used and provides the sectoral breakdown for activities andcommodities as well as details on classification of all other accounts. Data transformations and

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Input-output accounts capture inter-industry relationships through flows of intermediate inputs between different6

sectors, i.e., representing the production technology of each economic activity. It also gives a summary of value-added accruing to each activity and finally provides information on the structure of final demand (privateconsumption, government expenditures, investments, exports and imports).

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manipulations is also descibed in this subsection on the Micro SAM. A third section describesthe cross-entropy approach that has been employed to balance the Micro SAM, as well as theassumptions used and constraints imposed. Appendix A2 provides the full balanced Micro SAMof Malawi for 1998 obtained from the construction exercise described in this paper.

2.0 Social Accounting Matrices

A Social Accounting Matrix is a square matrix of monetary flows that reflect all transactionsbetween the various entities in an economy. It maps out all flows of funds emanating from oneactor paid to another. The number of transactors, called accounts, constitute the dimension ofthe square matrix. By convention, all column accounts represent expenditures or outlays, whilethe row accounts of the SAM represent incomes or receipts. One fundamental characteristic ofthe SAM is that it provides a comprehensive and consistent record of interrelationships in aneconomy at the level of individual production sectors and factors, as well as private, public andforeign institutions. SAMs disaggregate the macroeconomic (national) accounts and link thesewith the economy’s input-output accounts. The SAM is thus an expansion of input-output6

accounts incorporating more disaggregated details of factors and institutions, such as the varioustypes of labour and households. Thereby, it provides an economywide perspective of allmacroeconomic, sectoral and institutional transactions in a fully consistent framework.

A SAM is represented as a square matrix

X = {x }ij

where x is the value of the transaction with income accruing to account i from expenditure byij

account j. Nominal flows cross the SAM from columns to rows. For transaction involving goodsand services, there are corresponding real flows from rows to columns. For financial transaction,there are corresponding flows of assets from rows to columns. For pure transfers, there are onlynominal flows from column accounts to row accounts. The corresponding row and columnaccounts of a SAM must be equal. That is

3 x = 3 x for all kkj ik

j i

As a consequence of this, SAMs satisfy a variant of Walras’s Law. If all accounts but onebalance, then the last account must balance as well (Reinert and Roland-Holst 1997).

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We distinguish two types of SAMs. The first, the Macro SAM, gives—as the name suggests—anaggregated perspective of the flow-of-funds in an economy. It provides singular aggregates of allaccounts without sectoral or institutional detail. Data for the Macro SAM comes from NationalAccounts statistics, the Balance of Payments statistics, Government Accounts and ForeignTrade statistics. Supplementary data may come from various Reserve Bank sources. The secondtype of SAM is the disaggregated Micro SAM. It disaggregates most of the Macro SAM accountswith respect to desired sectoral and institutional breakdowns. Sectors are broken downaccording to what they produce and the technology they employ (input-output relationships),households are broken down according to various predefined characteristics subject tohousehold data availability and factors are disaggregated based on the available data from labourforce surveys. The input-output table forms the basis for the activity and commodity accounts inthe disaggregated SAM while data on households comes from household surveys. It is indeedworthwhile to note that data from different sources present numerous anomalies andinconsistencies. The SAM constructor has a formidable challenge to bring consistency into theentire framework, especially when dealing with data sets from developing countries.

2.1 The 1998 Macro SAM for Malawi

The 1998 Macro SAM is a square matrix comprising 10 rows and columns forming separateaccounts in the economy. Its conceptual scheme is presented in Table 1. The non-zerointersections between rows and columns in the Macro SAM give the specific flows of fundsbetween various accounts. Depending on data availability and the degree of aggregation whichthe analyst wishes to work with, the Macro SAM can be presented in varying levels of detail.The Macro SAM forms the basis from which a more elaborate and detailed framework, theMicro SAM, is constructed. Most cells in the Macro SAM represents a block or an array of data,disaggregated to the desired detail in the Micro SAM. In essence therefore, the cells in theMacro SAM function as the control totals for the corresponding blocks in the Micro SAM duringthe disaggregation process. The 1998 Macro SAM (see Appendix A1) for Malawi distinguishesthe following accounts:

1. ActivitiesActivity column entries indicate expenditures incurred during the production process andinclude purchases of intermediate inputs and payments to the factors of production—includingfactors used in the production for home consumption (value-added at factor cost). In theabsence of production taxes, total factor payments equal total gross output of the economy. Inthe 1998 Macro SAM for Malawi, intermediate goods are netted out since they are not part ofGDP at factor cost (national income). Value-added at factor cost in the 1998 Malawi MacroSAM amounts to MK49,992 million.

2. CommoditiesThe total supply of commodities, valued at market prices, is given as domestic marketed

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production, imports of goods and non-factor services, indirect taxes (sales taxes, domestic andimported goods surtax), as well as export taxes and import duties, as shown in the commoditycolumn in Table 1. The commodity row gives the total demand for marketed commodities andincludes intermediate demand of activities (netted out in the Malawi case), household andgovernment consumption, investment demand of both government and private sector, changes instocks as well as export demand of goods and non-factor services. In the absence if productiontaxes, total domestic commodity supply (including export supply) in the 1998 Malawi SAM isequal to total value-added at factor cost of MK49,992 million. The intersection between thecommodity column and the recurrent government row gives the indirect taxes paid. This is anamalgamation of domestic sales taxes, surtax on imported and domestic goods and import duties,including export taxes paid to government in the first half of 1998. The total Macro SAM valueof all indirect taxes on commodities is MK5,089 million. The final non-zero entry in thecommodity column is the intersection with the rest of the world. This gives the total value ofimports of goods and services at their CIF value of MK23,743 million.

3. FactorsFactors include labour, capital and land. Total factor income (GDP at factor cost or nationalincome) consists compensation of employees (wages and salaries) as well as operating surpluscomprising rents on land and capital, represented by the receipt of the factors row from theactivity column. The factor account pays rents on capital and land to enterprises and wages andsalaries to households, which is represented by the factor column of Table 1. The factor accountmay also pay factor taxes to the government and factor payments to the rest of the worldaccount. There is no explicit differentiation between value-added labour and value-added capitalat this stage. The GDP at factor cost is a lump sum figure which, after some manipulations canyield value-added paid to labour (households) and value added paid to capital and land(enterprises). In the 1998 Macro SAM, the value added paid to capital and land was computed atMK15,557 million while that paid to labour was MK32,715 million. Factors pay factor taxes torecurrent government amounting to MK489 million. Factors pay to the rest of the world factorpayments abroad amounting to MK1,230 million. This value is derived from Balance ofPayments statistics. The total for the factor column gives the value added at factor cost ofMK49,992 million

4. EnterprisesEnterprises earn profits from capital and land and may receive subsidies from the government inthe row account. They pay taxes to the government, distribute profits to households and the restof the world, and retain some of the profits as savings. The payment by enterprises to householdsin the 1998 Macro SAM is MK22,313 million and direct enterprise taxes amount to MK1,541million. Enterprises also pay MK123 million worth of interest and other transfers to the rest ofthe world. MK142 million was saved by enterprises.

5. HouseholdsThe household column indicates the allocation of total household income among the various

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uses, namely, combined own account and marketed consumption, income taxes paid to thegovernment and savings, while the row represents total income earned by households andcomprises of factor incomes, transfers from the government, as well as net transfers from therest of the world (e.g., remittances from abroad). The 1998 Macro SAM for Malawi combinesown account consumption and the consumption of marketed commodities. Householdsconsumed MK46,314 million worth of commodities, paid MK1,512 million to recurrentgovernment as taxes and saved MK213 million.

6. Recurrent governmentThe row includes all receipts by government for recurrent uses and includes taxes levied on thevarious accounts in the economy such as indirect taxes, corporate taxes, income taxes and tradetaxes, as well as transfers from the rest of the world in the form of grants. The revenue fromthese taxes is spent on government expenditures on goods and services, transfers to householdsand enterprises, as well as government savings represented by the recurrent government column,which shows a total of MK7,199 million as government recurrent expenditure on goods andservices, MK1,598 million as direct government transfers to households and MK2,942representing government saving.

7. Government investmentAll outlays paid for investment goods by government funds are located in the intersectionbetween government investment and commodities. The value for this cell in the 1998 MacroSAM for Malawi is MK4,700 million and gives the actual amount of expenditure on theDevelopment Account as reported in the Financial Statement for 2000 (MoF 2000).

8. Savings and investmentThe column gives the total investment expenditure in the economy, comprising private sectorinvestment in the intersection with commodities valued at MK1,273 million in 1998, andgovernment investments in the intersection with the government investment row (MK4,700million). The last non-zero cell in this column is the changes in stocks, amounting to MK1,289million in 1998. The total of the column represents gross fixed capital formation in the economy.

9. Change in stocksThis account represents changes in inventories in producing sectors which is a component ofgross fixed capital formation. The value is taken from national accounts statistics in theEconomic Report for 2000 published by National Economic Council (NEC 2000). In 1998,changes in stocks amounted to MK1,289 million.

10. Rest of the worldExports of goods and services (foreign payments to the commodities account), foreign loans,grants and other transfers are given in the column, while purchases of imports and receipts offactor payments and net interest payments of enterprises by the rest of the world are specified inthe row. In 1998, Malawi exported goods and services amounting to MK18,022 million while

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grants and transfers from abroad to recurrent government were at MK3,110 million. The loansfrom the rest of the world on the development account are represented by the intersectionbetween the rest of the world column and the savings-investment row and stood at MK3,964million.

1998 Macro SAM of Malawi: Data Sources

From these accounts, a general structure of an aggregated SAM is derived, in which each columntotal equals the respective row totals. Three major sources of data were used to construct theMacro SAM for 1998. The November 1999 issue of the Monthly Bulletin of Statistics publishedby the National Statistical Office was the primary data source (NSO 1999). This publicationcontains tables on National Accounts giving details on Gross Domestic Product at factor cost,total Domestic Supply, Gross Fixed Capital Formation, the Balance of Payments, GovernmentStatistics and External Trade Statistics. This was complemented by the Economic Report, 2000published by the National Economic Council (NEC 2000) and the 1999 Quarterly StatisticalReview of the Reserve Bank (RBM 1999). The Financial Statement published by the Ministry ofFinance and Economic Planning as part of the Budget Document series provided information onGovernment operations on both revenues and recurrent expenditures (MoF 2000). Tax data wasderived from various reports, but mainly from the Reserve Bank’s Quarterly Statistical Reviewwhich provides government revenue on a quarterly basis, as opposed to the Ministry of Financewhich provides its statistics on a financial year basis (1 July - 30 June). The Quarterlyst th

Statistical Review also provides statistics on external loans and grants, capital flows and theexternal reserve position. The Balance of Payments in both the national accounts chapter of theEconomic Report and the Monthly Bulletin of Statistics give both receipts and payments of non-factor incomes and all other transfers including the rest of the world. Inconsistencies still persistin the available data from the different institutions necessitating the employment of some datamanipulations to enhance consistency between economic variables.

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Table 1: Structure of the 1998 Macro SAM for Malawi

Activities Factors Enterprises Households TotalCommodi- Recurrent Governm. Savings / Changes in Rest of theties Governm. Investment Investment Stocks World

Activities MarketedProduction Total sales

Commodi-ties

Intermediate Final Household Private Changes in DomesticConsumption Consumption Investment Stocks Demand

Government Final GovernmentRecurrent Expenditure on Exports (FOB)

Consumption Investment

Factors Value-Added at Value-added atFactor Cost Factor Cost

Enterprises Value-Added EnterpriseCapital Income

Households Value-Added Distributed Subsidies and HouseholdLabour Profits Social Security Income

RecurrentGovernm.

Sale, Surtax,Import duties Factor Tax Corporate Tax Transfers from RecurrentIndividual Income

Tax

Grants and Government

ROW Receipts

Governm.Investment

Government GovernmentInvestment Investment

Savings /Investment Enterprise Saving ROW on Dev. SavingsHousehold Government

Saving Saving

Loans from

Account

Changes inStocks

Changes in Changes inStocks Stocks

Rest of theWorld Imports (CIF) Payments abroadFactor Payments Interest Payments

Abroad etc.

Total Gross Output InvestmentsTotal Commodity Value-added at Enterprise Household Government Government Changes in Receipts fromSupply Factor Cost Expenditure Expenditures Expenditures Investments Stocks abroad

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Transforming fiscal year data from two subsequent years into data for one calender year.7

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2.2 The 1998 Micro SAM

After the construction of the 1998 Macro SAM for Malawi, we now have a tool which we canuse to control the disaggregation process of the Micro SAM. Constructing a Micro SAMinvolves a process in which the main account types contained in the Macro SAM and the non-zero data entries are disaggregated to provide a more detailed picture of all flows in theeconomy. Each of the non-zero cells in the Macro SAM serves as a control total for theassociated disaggregated block in the Micro SAM. Each of the different accounts in the MacroSAM are treated separately using data from various sources.

Several factors are taken into account when deciding on the level of disaggregation. First, adecision has to be made about how we want to disaggregate the cells in the Macro SAM. Thisdecision is based on what we want to analyze and how we want to achieve this. Sometimes wewish to analyze the impact of specific policies on the welfare of different types of households, orimpact of policies on production. In each case, the disaggregation adopted will have to suit thepurpose of the analysis. Second, we have to determine how we can disaggregate the cells fromthe Macro SAM. This depends, to a large extent, on the availability of data and the way in whichdata is presented by the relevant authorities. In many instances, data comes in formats that aredifficult for analysts to manipulate without making some very critical assumptions. Governmentexpenditure figures are, for instance, given on the basis of a financial year while most otherinformation is on calender year basis. In the absence of government calender year values,assumptions have to be made about average monthly expenditures of the government whichthen have to be calendarized . 7

Household disaggregation also requires the availability of a household budget survey to bereliably accurate. The level of disaggregation of households is dependent on the way the datawas collected and the way the data is presented. The household characteristics that are soughtwhen undertaking a household survey dictate the detail at which households can be classified.Linked to household disaggregation is the disaggregation of factors. Factors, in a SAMframework earn incomes that are then channeled into households and other institution. One hasto be careful to have particular factors mapped to particular households.

Malawi, like many developing countries, presents its statistics in various official publications,notably the Economic Report, the annual Financial Statement, the Government BudgetEstimates, Agricultural Statistical Bulletins, the External Trade Statistics Reports and theHousehold Surveys. Unfortunately, there are many differences and inconsistencies in thesepublications. The National Accounts aggregates in the Economic Report from the NationalEconomic Council differ from those presented in the Annual Statistical Review published by theReserve Bank. The same is true for exports and imports. The Balance of Payments give oneversion of imports and exports and their corresponding tariffs while the External Trade Statisticsgives another. In some instances, different publications from the same institution give differentvalues for the same variable. In these situations, informed judgements have to be made taking

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Technical coefficients refer to the share of each intermediate input element in total sectoral gross output.8

All petroleum products are imported as a finished product and there is no domestic production. However, due to the9

petroleum sector’s importance and strong linkages with a vast majority of the other sectors in the economy, weseparate it out of the chemicals sector to facilitate focused simulations at the CGE modeling stage.

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into account the views of the concerned institutions, including judgements based on the mostconsistent macro-flows as given by the Macro SAM.

2.2.1 The Disaggregation of the Accounts in the 1998 Micro SAM

The main data source that forms the basis of the 1998 Micro SAM is the 1994 IO matrix. In theabsence of an input-output table for 1998, we have assumed that technical coefficients have8

not changed much since 1994, i.e., the technology employed in producing commodities in 1994is basically the same for 1998. Accounting for the production of goods and the supply ofcommodities to domestic and export markets makes up the largest part of the Micro SAM. The1998 Micro SAM distinguishes 38 productive activities, which is an aggregation of the 45activities in the 1994 IO matrix. The 1994 IO matrix contained one commodity representingcomplementary imports for which no Malawian substitutes exist. The complementary importcommodity row of the 1994 IO table was broken down according to the commodity weights inthe import value of the complementary import and spread to the various activities. Thus the1998 Micro SAM’s intermediate input block contains both domestically produced intermediateinputs and imported intermediate goods.

The 1998 Micro SAM also distinguishes between small-scale and large-scale activities in threeof the agricultural sectors where the production technologies employed differ significantly,namely tea, tobacco and other crops. Small-scale activities refer to those activities that areclassified as “smallholders” by the Ministry of Agriculture and the National Statistical Office(less than 10 ha). In the case of agriculture, large-scale activities are mainly estates or farms ofmore than 10 ha or sectors with more than 100 employees and/or a turn-over of overMK1,000,000. Owing to the commodity’s strategic importance, petroleum products areseparated from the chemicals commodity and treated separately for simulation purposes. 9

Of the 38 productive activities defined in the Micro SAM, 11 are agricultural activities, 18 aremanufacturing activities, and 9 are service activities out of which 3 are distribution activities.However, the Micro SAM only distinguishes between 36 commodities, each corresponding to aunique activity with the following exceptions:• There are three agricultural activities that are disaggregated into large-scale and small-

scale, but produce the same commodity. Large-scale and small-scale Tea will produceone commodity, Tea; large-scale and small-scale Tobacco produce one commodity,Tobacco; and similarly, large-scale and small-scale Other crops produce one commodity,Other crops.

• There is one commodity for which does no corresponding activity exists, which ispetroleum products. Malawi does not produce any petroleum, but it appears as a separatecommodity because of its strategic importance.

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The complete sectoral disaggregation of the Micro SAM is presented in Table 2.

The Micro SAM contains one account for each activity and one for each commodity, althougheach commodity account can be perceived as consolidating four accounts, one for import, onefor export supply, one for domestic supplies to domestic markets and one for composite supplyto domestic markets.

Table 2: Activities and Commodities in the Micro SAM Activities Description Commodities

1 AMAIZE Maize CMAIZE2 ATEAS Tea and coffee small-scale CTEA3 ATEAL Tea and coffee large-scale4 ASUGA Sugar growing CSUGA5 ATOBAS Tobacco growing small-scale CTOBA6 ATOBAL Tobacco growing large-scale7 AOCRPS Other crops small-scale COCRP8 AOCRPL Other crops large-scale9 AFISH Fisheries CFISH

10 ALIVE Livestock and poultry CLIVE11 AFORE Forestry CFORE12 AMINE Mining CMINE13 AMEAT Meat products CMEAT14 ADAIR Dairy products CDAIR15 AGRAI Grain milling CGRAI16 ABAKE Bakeries and confectioneries CBAKE17 ASUGP Sugar production CSUGP18 ABEVE Beverages and tobacco manufacturing CBEVE19 ATEXT Textiles and wearing apparel CTEXT20 AWOOD CWOODWood products, furniture and fittings21 APAPE Paper and printing CPAPE22 ACHEM Chemicals CCHEM23 Petroleum products CPETR24 ASOAP Soaps, detergents and toiletries CSOAP25 ARUBB Rubber products CRUBB26 ACEME Non-metallic mineral products CCEME27 AMETA Fabricated metal products CMETA28 AMACH Plant and machinery CMACH29 AELEC Electricity and water CELEC30 ACNST Construction CCNST31 AOILD Oil distribution COILD32 AAGRD Agricultural distribution CAGRD33 AOTHD Other distribution COTHD34 AHOTE Hotels, bars, restaurants and rooming houses CHOTE35 ATELE Telecommunications, transport, clearing and forwarding CTELE36 ABANK Banking and insurance CBANK37 ABUSI Business services CBUSI38 APUBS Public services CPUBS39 APERS Personal, social and community services CPERS

The intersection between the activity columns and the commodity rows gives the Input-Output

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relationships mentioned before. 1998 value-added figures derived from the National Accountsstatistics are superimposed on the 1994 technical coefficients to yield the new 1998 technical relationships.

2.2.2 Disaggregation of the Main Accounts

Factors

The 1997-98 Integrated Household Survey provides a rich source of information for classifyingthe various factors of production. The 1998 Micro SAM distinguishes between three basicfactors of production: Labour, Land and Capital.

Labour

Labour is disaggregated into eight categories distinguished by type of occupation and level ofeducation. First, we classify labour according to main occupation, namely agricultural labourand non-agricultural labour. Second, we further distinguish these by the level of education of thehead of household in the following manner:- No education agricultural labour;- No education non-agricultural labour;- Low education agricultural labour;- Low education non-agricultural labour;- Medium education agricultural labour;- Medium education non-agricultural labour;- High education agricultural labour;- High education non-agricultural labour.

No Education implies that the head of household never had any formal schooling;Low education means that the head of household had between one to four years formalschooling; Medium education is for those with education between five years to ten years and,High education households are those with the head having more than ten years of education.

The IHS is the main source for disaggregating labour into these categories. The first step is tosplit the value-added by sector derived from the 1994 IO matrix adjusted to 1998 into value-added labour and value-added capital. Once this split is done, we take the value-added labourand superimpose ratios derived from the IHS specifying the various shares of the labour types tototal labour income in each sector to obtain value added labour paid to each of the eight labourcategories.

Land

Land is only allocated to agriculture and is demarcated according to the type of activities.Sectors which are predominantly large-scale were allocated “Large-scale land” and those thatare small-scale in nature are allocated “Small-scale land”.

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Land value added is extracted from value added capital and accrues only to agriculturalactivities producing crops. We use hecterage and crop data contained in the Smallholder CropEstimates published by the Ministry of Agriculture and calculate the hecterage-output ratios forsmall-scale agriculture and superimpose these on the gross output of the respective crops givenin the IO matrix. Large-scale hecterage is derived from the Annual Agricultural StatisticalBulletin published by the Ministry of Agriculture. This gives hecterage of all large-scale cropswhich we use to calculate the hecterage-gross output ratio. Again we superimpose these ratioson the gross output to derive value-added land for large-scale agricultural sectors.

Capital

Capital is sub-divided into Capital agriculture small-scale; Capital agriculture large-scale andCapital non-agriculture in accordance with the three types of enterprises which in turn havebeen chosen in accordance with different activity types.

Value-added capital is what remains once value-added land has been extracted from the initialvalue-added capital obtained from the IO matrix. The distinction between agriculture small-scaleand agriculture large-scale is straight forward. All agricultural activities classified as large-scalereceive large-scale capital, with the inclusion of sugar growing and forestry. Agriculture small-scale capital goes to maize, fisheries, and livestock and the sectors that are explicitly specified assmall-scale. The rest is non-agriculture capital without the distinction between large and small-scale.

Institutions

Enterprises

Enterprises are classified in accordance with activities as follows:- Enterprises agricultural small-scale;- Enterprises agriculture large-scale;- Enterprises non-agriculture.

Enterprises receive profits (operating surplus or value added capital) which they distribute tohouseholds, pay to recurrent government, save and also pay off interest payments and otherenterprise transfers to the rest of the world. All agricultural large-scale capital goes to enterprisesagriculture large-scale while agriculture small-scale capital goes into enterprises agriculturesmall-scale. Non-agriculture capital naturally goes to enterprises non-agriculture. Theinformation required for these allocations is imputed within the Micro SAM constructionprocess. The data is not exogenously found.

Households

The Integrated Household Survey 1997-98 provides the basis for classifying households in thehousehold accounts. The 1998 Micro SAM distinguishes fourteen household types, classifiedaccording to main occupation, land holding sizes, level of education and household location.

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A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

The commodities purchased and their respective values are derived from the Integrated Household Survey 1997-9810

with a few adjustments to account for differences with published national accounts household consumption data.

14

First, the households are classified by location, i.e., whether they are located in rural areas (allareas in Malawi except for the four urban centres), or in urban areas (Lilongwe, Blantyre,Mzuzu and Zomba). Then the households are classified according to the predominant activity –agriculture or non-agriculture. For agricultural households in the rural areas, a furtherbreakdown is employed with land holding size as the basis. Non-agricultural households in ruraland urban areas are classified according to the level of education of the head of household. Inurban areas, there is only one agricultural household type. The final household accountsrepresent the following types of households:- Rural agriculture less than 0.5 ha land holding;- Rural agriculture between 0.5 ha and 1.0 ha land holding;- Rural agriculture between 1.0 ha and 2.0 ha land holding;- Rural agriculture between 2.0 ha and 5.0 ha land holding;- Rural agriculture more than 5.0 ha land holding;- Rural non-agriculture no education;- Rural non-agriculture low education;- Rural non-agriculture medium education;- Rural non-agriculture high education;- Urban agriculture;- Urban non-agriculture no education;- Urban non-agriculture low education;- Urban non-agriculture medium education;- Urban non-agriculture high education.

The households consume some of their produce as “own-account” consumption, purchasecommodities in the market (final consumption which here is combined with own-account10

consumption), pay taxes to government and save. On the other hand, they receive incomes fromthe sale of their labour, incomes from enterprises and also transfers from government and fromthe rest of the world.

The data for the household account is drawn mainly from the IHS. Households are groupedaccording to the criteria laid out above, then budget shares from marketed and own accountconsumption are calculated from the household expenditure module of the IHS. Own accountconsumption is derived by multiplying the quantities consumed by respective prices taken frommarketed consumption to yield own account consumption values. We then superimpose the totalfinal consumption expenditure value from national accounts on these budget shares to obtainhousehold consumption by commodity. Inter-household distribution of the control total is theweighted share of each household types total consumption to total household consumption forall household types.

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A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

See Chulu, Wobst and Brixen (1998).11

15

Trade and Transport Margins

There are three distribution activities that are explicit in the Micro SAM, AgriculturalDistribution, Oil Distribution and Other Distribution. These three sectors contain the trade andtransport margins accruing to all commodities in the Micro SAM. The sectors are explicitlydistinguished in the IO matrix and carried over in the Micro SAM . 11

Other Accounts

These accounts are those that are not broken down into sub-components in the 1998 MicroSAM for Malawi.

Government Recurrent

The Micro SAM contains a government recurrent expenditure account whose data is derivedfrom the actual estimates of expenditure as published in the government budget reports, onegovernment investment account with data from the same source as government recurrentexpenditures and separate tax accounts which are used as conduits to shift funds from taxpaying institutions and activities to government:- Consumption taxes (sales taxes and surtaxes);- Export taxes;- Import tariffs;- Factor taxes; and- Direct taxes (individual income taxes and corporate taxes).

This account is not disaggregated into sub-groups but directly derived from the governmentbudget reports. Particular commodities are reclassified to suit the Micro SAM specifications.However, most of the data here are presented in financial year basis and hence the main taskwas to transform all values into their calender year equivalents. The supplementary data sourceswere the Economic Report (NEC); the Quarterly Statistical Review (RBM) and the FinancialStatement (MoF). The Monthly Bulletin of Statistics (NSO) also gives a considerable amount ofinformation on government operations.

Government Investment

The government investment account gives a commodity breakdown of all expenditures bygovernment on investment goods. Investment goods for government are those goods that formpart of gross fixed capital formation and constitute expenses of government on the developmentaccount. The Financial Statement (MoF 2000) gives a commodity breakdown of all investmentoutlays. These are reclassified in the Micro SAM, and then calendarized.

Page 21: A 1998 Social Accounting Matrix for Malawi

Ti, j

A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

For a more detailed discussion of the cross-entropy approach to SAM estimation see Robinson, Cattaneo, and El-12

Said (2000).

16

Savings and Investment (Private Investments)

The SAM also features a Savings-Investment account, representing private investments, savingsand their sources of funds. The Macro SAM gives a control total for private investment which isthen broken down by type of investment commodity. The IO matrix gives a commoditybreakdown of investment outlays by the private sector which forms the basis for calculatingcommodity shares which are then used in tandem with the control total to yield the newinvestment values. Related to this is the change in stocks which is derived directly from NationalAccounts, recording the difference between stocks at the beginning of an accounting period andstocks at the end of the accounting period.

Rest of the World

This account records all transactions with the rest of the world. The main data sources for thisaccount are the External Trade Statistics and the Monthly Bulletin of Statistics supplemented bythe Balance of Payments statistics. The External Trade Statistics also gives information onimport duties and surtaxes by commodity which are fed into the government recurrent account.Exports are valued at FOB while imports are valued at CIF. Figures for loans, grants and otherfactor and non-factor payments (net) to the rest of the world can be found in the Balance ofPayments and the Quarterly Review of Statistics.

For good measure, row and column totals are also represented in the Micro SAM and theseshould ideally balance. In reality however, a data framework of this magnitude, derived fromdifferent and sometimes contradictory sources is difficult to balance. To balance the MicroSAM, a procedure, known as the cross-entropy method, is employed and described in the nextsection.

2.3 Balancing the SAM using a cross-entropy approach12

The Micro SAM entries presented in Appendix A2 are not only the result of sectoral datainformation and relative spreads within the various sub-groups of accounts, but also the result ofthe final balancing procedure of the SAM. A cross-entropy approach to SAM estimation is usedfor the balancing process leading from the unbalanced to the balanced Micro SAM. Since dataavailability and data consistency are limited, the cross-entropy approach is an appropriate toolfor estimating a balanced and consistent data base starting from an unbalanced data base thatcontains all available information.

The SAM is defined as a matrix (a payment from account j to account i) of monetary flows,representing receipts and expenditures of all economic agents. Following the convention ofdouble-entry bookkeeping, total receipts and total expenditures of a particular agent i have to be

Page 22: A 1998 Social Accounting Matrix for Malawi

&I(p:q ) ' &jn

i&1

pi lnpi

qi

Ei

AA y ' A y

ji

Ai , j ' 1 ú j

yi ' jj

Ti, j ' jj

Tj, i

Ai, j 'Ti, j

yj

with ji

Ai, j ' 1 ú i

y ' A y

min jij

jA (

i, j @ ln (A (

i, j

Ai, j

)

s.t.: jj

A (

i, j y (

j ' y (

i and jj

A (

i, j ' 1 ú i

A

A (

A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

Following information theory developed by Shannon (1948) and further developed by Theil (1967) the expectation13

of separate information values can be described as the expected information of data points:

, where q and p are prior and posterior probabilities regarding a set of events and -

I(p:q) is the Kullback-Leiber (1951) measure of the “cross-entropy” distance between the two probabilitydistributions. The cross-entropy approach minimizes the cross-entropy distance between the probability distributionsthat are consistent with the information in the data and the prior.

As formulated by Golan, Judge, and Robinson (1994) to update an input-output table by solving for a new14

coefficient matrix A which minimizes the entropy difference between the underlying prior and the new matrix A.

This means that the prior does not need to satisfy the model , but the sum of its column coefficients15

adds up to one, i.e., .

17

equal, i.e., respective row and column sums are balanced:

(1)

Dividing every cell entry of the flow matrix T by its respective column total generates a matrixA of column coefficients:

(2)

In matrix notation it follows that:

(3)Balancing a SAM is an underdetermined estimation problem using information from manysources and various years. The cross-entropy approach allows the incorporation of errors in13

variables, inequality constraints, and prior knowledge about any part of the SAM—not just rowand column sums. These features of the cross-entropy estimation technique allow greatflexibility in incorporating specific information and implementing certain limits to which theestimation results are restricted. The general cross-entropy approach is described by the14

following optimization problem

(4)

where is a coefficient matrix representing the (perhaps inconsistent and unbalanced) initialdata (prior) that was chosen as a starting point of the cross-entropy balancing process to achievethe desired new coefficient matrix . The described problem is set up to minimize the15

entropy difference between the two coefficient matrices which becomes more obvious by

Page 23: A 1998 Social Accounting Matrix for Malawi

min jij

jA (

i, j @ ( ln A (

i, j& ln Ai, j )

jij

jG (k)

i, j @ Ti, j ' ã(k)

ã(k) Tij

y ' x % e

x

ei ' jw

Wi,w @ vi,w

jw

Wi,w ' 1 with 0 # Wi,w # 1

min jij

jA (

i, j @ ( ln A (

i, j& ln Ai, j ) % jijw

Wi,w @ ln Wi,w .

A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

Note that if the error distribution is symmetrically centered around zero and all weights are equal—as their initial16

prior values—the respective error equals zero.

18

rearranging it to

(5)

Additional equality and inequality constraints can be formulated as linear “adding-up”constraints on various elements of the SAM. For an aggregator matrix G, which has ones forthose Micro SAM entries that correspond to a certain Macro SAM aggregate and zerosotherwise, the formulation for k such aggregation constraints is given by

(6)

where is the value of the aggregate and the 's are the Micro SAM flows.

Measurement errors in variables can be incorporated into the system through

(7)

where y is a vector of row sums and the initially known vector of column sums measured witherror. The error e is defined as a weighted average of known constants

(8)

where w is a set of weights W, v are constants, and weights are subject to

(9)

For the purposes of the Malawi Micro SAM, a symmetric distribution around zero given lowerand upper bounds is chosen, using three weights. Consequently, the optimization problem of16

minimizing the entropy difference now contains a term for the weights W

(10)

The explicit application of the cross-entropy estimation procedure on the Malawi Micro SAMcontains a set of additional constraints that constrain various sums over sub-matrices of theSAM to their respective macro control totals that were presented in the Macro SAM.

First, within activities, the sum over all factor payments is fixed to their aggregate value asspecified in the Macro SAM. As a result, total GDP at factor costs is constrained to its originalvalue. Sectoral production may change within specified lower and upper limits which areimposed through the error specification, allowing shifts in relative sector shares of production inthe economy. Second, the foreign trade entries are constrained to their macro totals, althoughthe relative commodity composition of imports and exports may change. Third, total finalhousehold, government, and investment demands are bound to their macro totals as reported in

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A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

19

the Macro SAM, as well as total own-household consumption. Finally, total income taxes, salestaxes, other indirect taxes, tariffs, and total remittances to households from abroad are fixed attheir macro totals. Some single-cell entries are locked to their initial values if the data sourceapplied is reliable, such as government investment demand and factor payments abroad.

References

Chulu, O., P. Wobst and P. Brixen. 1998. A Social Accounting Matrix for Malawi for 1994.Bunda College of Agriculture. Mimeo. Draft.

EPD (Economic Planning Department). 1996. Malawi Input-Output Table 1994. Lilongwe.

Golan, A., G. G. Judge, and S. Robinson. 1994. Recovering information from incomplete orpartial multisectoral economic data. Review of Economics and Statistics 76:541-549.Journal 27, 379-423.

IFPRI (International Food Policy Research Institute. 2000. Policy Backgrounds. CollaborativeResearch and Capacity Strengthening for Multi-Sector Policy Analysis in Malawi andSouthern Africa. Project Paper No.1. Washington, D.C.: IFPRI.

Kullback, S. and R.A. Leibler. 1951. On information and sufficiency. Ann. Math. Stat. 4, 99-111.

Löfgren, H. 2000a. A CGE Model for Malawi. Collaborative Research and CapacityStrengthening for Multi-Sector Policy Analysis in Malawi and Southern Africa. ProjectPaper No.3. Washington, D.C.: IFPRI.

______. 2000b. External Shocks and Domestic Poverty Alleviation: Simulations with a CGEModel for Malawi. Collaborative Research and Capacity Strengthening for Multi-SectorPolicy Analysis in Malawi and Southern Africa. Project Paper No.4. Washington, D.C.:IFPRI.

MoF (Ministry of Finance). 2000. Financial Statement. Lilongwe: Government of Malawi.

NEC (National Economic Council). 2000. Economic Report. Lilongwe: Government of Malawi.

NSO (National Statistical Office). 1999. Monthly Bulletin of Statistics: November 1999. Zomba:Government of Malawi.

______. 1998. External Trade Statistics 1998. Unpublished. Zomba: Government of Malawi.

______. 2000. Integrated Household Survey 1997-98. Statistical Abstract and data files. Zomba:Government of Malawi.

Page 25: A 1998 Social Accounting Matrix for Malawi

A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

20

Pyatt, G. and J. I. Round. 1985. Social accounting matrices: A basis for planning. Washington,D.C.: The World Bank.

RBM (Reserve Bank of Malawi). 1999. Quarterly Statistical Review. Lilongwe: Government ofMalawi.

Reinert, Kenneth A. and David W. Roland-Holst. 1997. Social Accounting Matrices. In AppliedMethods for Trade Policy Analysis: A Handbook ed. Joseph F. Francois and KennethA. Reinert. Cambridge: Cambridge University Press.

Robinson, S., A. Cattaneo, and M. El-Said. 2000. Updating and Estimating a Social AccountingMatrix Using Cross Entropy Methods. TMD Discussion Paper Series No.58.Washington, D.C.: International Food Policy Research Institute.

Shannon, C. E. 1948. A mathematical theory of communication. Bell System Technical.

Theil, H. 1967. Economics and Information Theory. Rand McNally.

Page 26: A 1998 Social Accounting Matrix for Malawi

A 1998 Social Accounting Matrix for Malawi Osten Chulu and Peter Wobst

21

Appendix A1: Malawi Macro SAM 1998

Activities

Commodities

Factors

Enterprises

Households

Recurrent

Government

Government Investment

Savings /

Investment

Changes in

Stocks

Rest of the

World

Total

Activities

49,992

49,992

Commodities

46,341

7,199

4,700

1,273

1,289

18,022

78,823

Factors

49,992

49,992

Enterprises

15,557

15,557

Households

32,715

13,771

1,585

48,072

Recurrent

Government

5,088 489 1,527 1,522

3,110

11,736

Government Investment

4,700

4,700

Savings /

Investment

136

209

2,952

3,964

7,262

Changes in

Stocks

1,289

1,289

Rest of the

World

23,743

1,230

122

25,096

Total

49,992

78,823

49,992

15,557

48,072

11,736

4,700

7,262

1,289

25,096

Page 27: A 1998 Social Accounting Matrix for Malawi

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101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

B C D E F G H I J K L M N O P Q R S T UAppendix A2: 1998 Micro SAM for Malawi (in million KW)

AMAIZ ATEAS ATEAL ASUGA ATOBAS ATOBAL AOTHAS AOTHAL AFISH ALIVE AFORE AMINE AMEAT ADAIR AGRAI ABAKE ASUGPMaize (only small-scale) Tea and coffee (small-scale) Tea and coffee (large-scale) Sugar growing (only large-scale) Tobacco growing (small-scale) Tobacco growing (large-scale) Other crops (small-scale) Other crops (large-scale) Fisheries Livestock and poultry Forestry Mining Meat products Dairy products Grain milling Bakeries and confectioneries Sugar production Beverages and tobacco Textiles and wearing apparel Wood products and furniture Paper and printing Chemicals Soaps, detergents and toiletries Rubber products Non-metallic mineral products Fabricated metal products Plant and machinery Electricity and water Construction Oil distribution Agricultural distribution Other distribution Hotels, bars, and restaurants Telecom and transportation Banking and insurance Business services Public services Personal and social services Maize 152.1 12.7 6,429.4Tea and coffee 125.0 549.5Sugar growing 0.5 76.3Tobacco 49.3 75.2Other crops 51.5 90.7 20.8 11.0 0.1 607.1 0.6 11.4 81.8 38.3 10.0Fisheries Livestock and poultry 206.9 1,174.3 0.3 0.1Forestry 22.0 100.3 23.2 39.6 37.3 0.3Mining 535.4Meat products Dairy products 9.9Grain milling 101.6 1.2 2.0 165.3Bakeries and confectioneries 0.5Sugar production 5.7 23.9Beverages and tobacco 5.0Textiles and wearing apparel 0.3 5.7 24.0 22.0 31.6 11.4 1.4 83.9 1.1Wood products and furniture 2.8 12.0 10.2 0.4Paper and printing 6.2 29.0 120.6 220.4 12.1 6.2 0.6 0.2 0.8 34.2 16.8 60.5 2.2 43.2Chemicals 169.4 78.7 339.7 19.9 161.6 242.7 44.4 27.2 24.3 18.9 0.9 9.3 27.6 26.1 14.4 45.6Soaps, detergents and toiletries 0.1Rubber products 5.0 9.0 0.4 0.2 8.7 11.3 56.2Non-metallic mineral products Fabricated metal products 27.3 22.3 95.7 12.1 57.6 85.3 5.6 3.5 21.3 0.1 5.4 7.1 1.6 1.0 0.4 50.3Plant and machinery 0.3 1.4 89.6 44.5 76.3 8.9 1.3 20.0Electricity and water 35.1 165.2 9.9 3.5 6.4 8.8 4.5 0.4 5.2 1.1 5.0 59.4 6.6 146.0 7.8 25.2Construction 17.2 29.5Oil distribution 13.9 1.7 9.5 0.3 36.2 84.7 16.0 6.6 0.5 50.5Agricultural distribution 49.4 19.7 110.4 479.4 1,300.0 143.3 50.4 31.8 24.4 3.2 109.3Other distribution 1.4 6.2 3.5 467.4 1,392.1 263.9 85.0 21.8 6.4 2.9 12.8 8.9 1.3 42.7Hotels, bars, and restaurants Telecom and transportation 14.5 7.0 32.5 5.7 38.5 67.2 3.4 1.8 0.2 1.6 16.3 10.6 27.9 2.0 71.1Banking and insurance 97.7 11.4 54.0 6.9 101.6 189.6 5.1 2.5 0.3 0.1 1.1 9.3 11.1 1.2 9.2 10.8 24.9Business services 0.9 2.7 7.9Public services 0.5Personal and social services 16.3 27.2 1.3 0.7Labor - no education ag 691.3 9.2 24.8 7.7 135.9 131.0 924.0 411.4 57.6 88.5 137.0Labor - no education non-ag 33.8 20.6 17.8 69.4 11.9 32.7Labor - low education ag 679.2 9.1 24.3 7.5 133.6 128.7 907.7 404.2 56.6 87.0 134.6Labor - low education non-ag 145.3 22.4 19.4 75.4 13.0 35.7Labor - medium education ag 1,074.9 14.3 38.3 11.9 210.9 203.7 1,437.9 638.6 89.2 137.2 212.3Labor - medium education non-ag 251.7 51.9 45.1 174.6 30.2 82.8Labor - high education ag 88.0 1.2 3.0 1.0 17.5 17.0 117.3 52.6 7.4 11.4 17.6Labor - high education non-ag 62.5 22.2 19.3 46.0 13.0 35.4Land - small-scale 1,815.2 22.4 296.2 1,663.9Land - large-scale 110.9 33.7 622.0 854.4Capital - ag small-scale 227.6 18.7 197.6 555.6 56.0 203.6 91.6Capital - ag large-scale 167.0 50.6 946.5 430.5Capital - non-agriculture 153.0 203.9 178.5 583.1 98.9 323.0Enterprises - ag small-scale Enterprises - ag large-scale Enterprises - non-ag Rural ag < 0.5 ha land holding Rural ag 0.5-1.0 ha land holding Rural ag 1.0-2.0 ha land holding Rural ag 2.0-5.0 ha land holding Rural ag > 5.0 ha land holding Rural non-ag no education Rural non-ag low education Rural non-ag medium education Rural non-ag high education Urban ag Urban non-ag no education Urban non-ag low education Urban non-ag medium education Urban non-ag high education Government recurrent Govenment investment Import duties Sales and surtaxes Factor taxes Export taxes Direct taxes Consolidated savings-investment Change in stocks Rets of the world Total 5,102.3 413.9 1,897.8 260.8 2,687.0 6,016.5 6,115.4 2,984.6 335.8 1,532.2 659.9 707.3 1,652.7 528.2 7,784.7 424.0 1,604.9

A C T I V I T I E S

LABOR

A C T I V I T I E S

C O

M

M O D I T I E S

HOUSEHOLDS

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101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

V W X Y Z AA AB AC AD AE AF AG AH AI AJ AK AL AM AN AO APcont. Appendix A2: 1998 Micro SAM for Malawi (in million KW)

ABEVE ATEXT AWOOD APAPE ACHEM ASOAP ARUBB ACEME AMETA AMACH AELEC ACNST AOILD AAGRD AOTHD AHOTE ATELE ABANK ABUSI APUBS APERS

0.6

28.925.6 507.3 6.5 61.9

3.849.1

437.2 2.3 8.9 1.8109.7 81.4 1.1

58.2 45.9

45.94.9

26.5 2.6240.0

172.6 44.6 0.2 3.4 118.9 12.2 17.3 0.2 11.9 0.6160.5 71.0 0.3 52.5 26.8 32.0 4.4 4.6

16.9 27.3 6.9 432.6 28.7 15.6 0.9 7.2 33.8 19.8 133.0 23.0 12.0 22.7 43.3 42.6 28.7 163.7 22.341.7 40.2 16.3 53.3 301.1 22.2 31.9 7.1 7.8 2.7 50.4 690.2 0.4 19.4 0.9 38.0 27.2 9.32.6 106.9 24.0 37.4 6.8 3.5 16.7 158.8 30.1 0.4 20.6

0.6 1.7 19.7 19.3 113.5 5.8 38.0 103.2 156.0 21.4 22.670.9 35.5 56.2 9.2 236.7 215.2 4.8 8.29.5 75.0 21.5 75.6 56.0 36.4 4.8 51.2 157.9 108.1 129.5 121.4 0.4 1.6 0.1 1.6 109.4 0.2 30.1

912.4 778.7 655.2 6.1 733.1 567.8 0.7 710.7 136.0 931.8 1.2 5.845.4 85.6 12.4 48.6 39.3 11.3 26.3 41.9 103.5 113.9 78.4 10.3 1.2 4.8 16.9 34.4 70.6 157.2 19.7 145.3 6.4

1.8 1.7 21.0 2.7 180.3 95.3 26.6 51.36.7 110.6 278.9 532.1 157.9

804.0 15.3 14.4 302.4 300.1 141.1 15.0 0.6 179.4 140.9 220.5 275.4 303.7 2,413.9 133.4 242.2 1.3 641.164.9 1.6 102.9

5.1 12.9 3.9 15.2 226.4 35.0 28.0 36.3 53.5 14.7 39.2 25.5 9.6 30.9 84.5 51.3 39.2 13.1 6.2145.3 28.0 13.1 56.2 19.3 41.8 19.5 19.7 70.9 27.8 37.5 33.3 26.6 123.7 248.1 52.0 71.2 235.3 70.8 48.6 0.713.3 1.3 8.7 3.6 35.1 0.8 59.4 9.2 2.8 7.8 33.4 17.6 9.0 2.6

0.1 168.7 1.4 9.2 198.3 96.8 13.90.3 9.3 1.9 200.5

32.8 30.5 57.9 20.6 20.3 28.6 4.1 24.2 44.9 32.3 48.9 45.2 42.3 168.4 438.8 180.2 145.9 100.7 43.0 374.9 97.5

35.7 33.3 63.1 22.5 24.0 31.3 4.6 26.5 49.0 35.3 20.5 41.3 44.0 174.9 454.9 187.2 117.4 129.0 55.1 473.5 123.3

82.7 77.1 146.6 52.0 55.6 72.4 10.6 61.4 113.6 81.8 111.8 318.3 174.1 692.9 1,810.1 741.4 593.6 513.6 219.0 1,711.8 444.0

35.2 32.9 62.5 22.2 23.8 30.9 4.5 26.3 48.5 35.0 145.5 95.8 50.7 199.8 512.4 214.1 362.9 460.3 197.0 1,651.3 434.6

737.1 274.9 145.6 678.3 249.0 628.6 171.5 42.7 391.4 195.2 421.0 645.7 191.9 944.9 2,269.1 644.7 1,072.5 722.8 407.8 789.3 678.0

3,078.5 2,300.5 1,878.6 1,858.4 2,159.6 1,743.0 448.8 504.2 1,989.4 1,173.7 2,864.4 3,220.3 583.9 3,338.4 8,378.5 2,774.1 3,421.1 2,462.5 1,396.3 6,201.2 2,166.1

A C T I V I T I E S

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101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

AQ AR AS AT AU AV AW AX AY AZ BA BB BC BD BE BF BGcont. Appendix A2: 1998 Micro SAM for Malawi (in million KW)

CMAIZ CTEA CSUGA CTOBA COTHA CFISH CLIVE CFORE CMINE CMEAT CDAIR CGRAI CBAKE CSUGP CBEVE CTEXT CWOOD5,102.3

413.91,897.8

260.82,687.06,016.5

6,115.42,984.6

335.81,532.2

659.9707.3

1,652.7528.2

7,784.7424.0

1,604.93,078.5

2,300.51,878.6

2.1 2.4 21.2 0.9 0.3 9.8 37.8 33.8 44.2 6.5 9.0 236.9 44.152.0 19.9 5.0 98.4 10.2 45.9 19.9 20.3 113.3 38.2 453.2 45.9 6.6 69.1 185.5 67.9

56.5

1,783.6 8.4 60.0 6.1 4.3 697.5 126.1 578.9 158.5 189.2 163.7 1,611.7 263.56,940.0 2,342.5 265.8 8,759.9 9,279.6 352.9 1,582.8 679.8 727.6 2,473.3 730.4 8,850.6 672.5 1,807.3 3,320.3 4,334.6 2,254.2

C O M M O D I T I E S

Page 30: A 1998 Social Accounting Matrix for Malawi

123456789

101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

BH BI BJ BK BL BM BN BO BP BQ BR BS BT BU BV BW BX BYcont. Appendix A2: 1998 Micro SAM for Malawi (in million KW)

CPAPE CCHEM CSOAP CRUBB CCEME CMETA CMACH CELEC CCNST COILD CAGRD COTHD CHOTE CTELE CBANK CBUSI CPUBS CPERS

1,858.42,159.6

1,743.0448.8

504.21,989.4

1,173.72,864.4

3,220.3583.9

3,338.48,378.5

2,774.13,421.1

2,462.51,396.3

6,201.22,166.1

46.0 184.2 18.8 79.1 31.2 107.2 488.3131.7 275.1 67.2 92.0 65.1 197.6 551.9 51.7 88.4 16.8 69.1 82.1 125.5 150.9 114.1 63.2 172.8 61.3

729.4 3,556.6 277.0 851.4 458.7 1,328.1 4,616.4 1,711.1 2,017.6 1,689.4 855.82,765.6 6,175.5 2,106.0 1,471.3 1,059.2 3,622.3 6,830.3 2,916.1 3,308.7 600.7 3,407.5 8,460.6 4,610.7 5,589.6 4,266.0 2,315.3 6,374.1 2,227.3

C O M M O D I T I E S

Page 31: A 1998 Social Accounting Matrix for Malawi

123456789

101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

BZ CA CB CC CD CE CF CG CH CI CJ CK CL CM CN COcont. Appendix A2: 1998 Micro SAM for Malawi (in million KW)

NEALAB NENLAB LEALAB LENLAB MEALAB MENLAB HEALAB HENLAB LANDS LANDL CAPAGS CAPAGL CAPNAG ENTERAS ENTERAL ENTER

1,350.61,594.6

12,612.0568.5 285.5 367.2 319.6 520.7 755.9 36.4 226.1 76.9 27.2709.9 287.1 656.8 309.6 692.2 504.1 42.2 132.0 191.0 67.7680.9 169.1 771.4 362.2 1,230.9 621.7 38.7 94.7 305.1 108.3184.7 64.8 203.0 57.8 473.6 228.7 38.0 18.8 1,324.8 472.1

1.4 6.8 17.2 46.7 8.6 943.5 240.5 336.9 226.4461.8 849.5

550.7 1,068.61,002.6 3,039.8

101.2 890.35.0 57.2 9.8 39.8 56.9 533.6 20.5 210.5 956.4 322.5 338.5 303.66.4 454.8

6.9 283.0 2,700.945.6 2,709.4 406.0 382.1 3,219.1

57.1 3,102.2 652.0 613.6 4,974.8

319.1 169.9

62.6 1,464.66.2 130.1

1,230.4 122.52,618.4 2,168.0 2,572.5 2,457.8 4,069.2 8,720.9 334.0 4,844.4 3,797.7 1,621.1 1,350.6 1,594.6 13,842.4 1,350.6 1,594.6 12,612.0

L A B O R L A N D C A P I T A L E N T E R P R I S E S

Page 32: A 1998 Social Accounting Matrix for Malawi

123456789

101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

CP CQ CR CS CT CU CV CW CX CY CZ DA DB DCcont. Appendix A2: 1998 Micro SAM for Malawi (in million KW)

RAGR1 RAGR2 RAGR3 RAGR4 RAGR5 RNAG1 RNAG2 RNAG3 RNAG4 UBAGR UBNAG1 UBNAG2 UBNAG3 UBNAG4

523.6 684.2 871.7 526.2 159.1 181.6 323.9 653.8 97.0 312.1 54.6 271.5 678.6 496.554.8 41.7 39.8 21.2 13.7 17.5 12.4 69.4 8.3 29.1 3.4 6.3 10.5 1.5

231.8 273.7 305.3 224.2 98.5 91.1 129.5 202.1 46.9 217.5 47.6 164.2 215.9 120.820.8 14.4 18.0 23.8 3.7 5.1 5.0 41.7 14.3 55.4 13.9 56.5 184.7 263.1

911.7 1,036.3 1,139.8 740.3 294.2 352.5 424.9 890.8 132.3 469.8 96.5 487.8 869.4 453.533.1 31.1 28.6 33.8 29.9 22.4 17.7 58.1 25.9 72.7 21.2 68.0 123.2 101.482.6 75.1 79.0 62.8 35.7 46.2 46.5 141.4 26.4 91.4 27.9 116.1 224.4 142.7

365.9 479.7 527.7 326.4 16.8 131.2 197.1 179.9 24.9 56.7 29.3 143.8 180.0 216.5174.5 171.3 237.9 213.0 219.2 86.1 98.9 331.6 113.8 189.3 59.2 143.8 478.1 547.7101.1 92.1 99.2 82.2 49.0 40.1 45.5 122.1 19.9 91.4 67.1 165.3 238.3 402.9

6.3 5.5 6.5 5.7 3.8 3.4 2.9 12.6 3.1 12.6 3.6 13.4 19.1 53.171.7 58.5 62.6 59.7 86.1 66.1 43.3 127.6 31.0 202.0 68.5 203.9 487.7 387.2

130.7 174.6 197.4 115.5 37.4 76.8 65.9 234.1 28.7 70.8 9.4 50.8 162.7 216.211.0 9.7 15.4 10.0 9.1 8.1 5.0 38.2 7.6 35.9 6.3 27.8 107.6 205.722.8 23.8 33.9 22.9 22.0 10.0 12.6 50.1 8.7 29.6 5.0 16.4 66.7 78.225.4 14.1 27.1 15.4 24.1 11.5 11.1 27.5 13.2 38.7 7.9 21.3 78.2 112.1

10.8 6.8 22.7 5.7 22.7 18.8 66.8 181.1 348.2

115.6 148.0 171.0 120.4 15.2 54.8 59.2 153.8 22.4 196.4 49.2 361.0 635.1 1,051.128.1 14.5 22.8 21.5 207.3 11.0 6.5 92.1 45.7 393.3 26.0 114.0 302.9 1,370.5

11.2 4.1 25.2 7.1 232.8 597.94.9 4.3 2.3 7.6 2.7 10.6 32.6 59.5

478.5 520.0 689.6 473.6 392.5 126.6 177.2 578.0 136.8 301.2 60.7 159.0 527.9 709.331.7 37.8 39.9 33.9 13.5 17.0 13.5 55.3 12.9 148.8 21.8 140.9 286.4 679.2

77.6 152.6 233.0 395.8 662.96.5 6.3 74.2 122.0

3,421.7 3,906.2 4,617.9 3,159.0 1,828.1 1,359.0 1,698.5 4,108.2 991.5 3,044.9 700.5 3,042.3 6,794.2 9,399.7

H O U S E H O L D S

Page 33: A 1998 Social Accounting Matrix for Malawi

123456789

101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118

DD DE DF DG DH DI DJ DK DL DM DNcont. Appendix A2: 1998 Micro SAM for Malawi (in million KW)

GOVRE GOVIN IMTAX COTAX FATAX EXTAX DITAX S-I CHANGE WORLD TOTAL5,102.3

413.91,897.8

260.82,687.06,016.56,115.42,984.6

335.81,532.2

659.9707.3

1,652.7528.2

7,784.7424.0

1,604.93,078.52,300.51,878.61,858.42,159.61,743.0

448.8504.2

1,989.41,173.72,864.43,220.3

583.93,338.48,378.52,774.13,421.12,462.51,396.36,201.22,166.1

225.1 120.2 6,940.028.5 1,639.5 2,342.5

189.1 265.81.1 8,605.5 8,759.94.8 1,915.6 9,279.6

19.7 352.92.4 117.0 32.2 0.4 1,582.8

6.8 679.8727.6

2,473.3730.4

104.9 111.7 18.1 8,850.6672.5

21.6 529.0 1,807.3116.9 82.5 3,320.3

76.4 7.1 37.1 586.2 4,334.6185.9 5.2 69.2 2,254.2

826.5 4.1 10.7 138.6 2,765.6956.3 612.2 40.4 6,175.5

59.8 67.5 2,106.028.1 353.3 1,471.3

4.9 5.4 9.5 1,059.241.5 1,245.9 505.6 14.8 3,622.3

542.3 101.0 19.4 486.0 6,830.3664.2 4.8 2,916.1

2,712.4 549.6 3,308.7600.7

3,407.58,460.6

519.8 768.4 4,610.7978.0 924.5 5,589.6169.1 1,292.1 4,266.0

1,633.6 341.0 2,315.3554.1 6,374.1437.4 2,227.3

2,618.42,168.02,572.52,457.84,069.28,720.9

334.04,844.43,797.71,621.11,350.61,594.6

13,842.41,350.61,594.6

12,612.0237.9 3,421.7313.6 3,906.2234.9 4,617.992.8 3,159.0

1,828.147.7 1,359.079.3 1,698.565.7 4,108.2

991.5190.6 3,044.9239.3 700.551.4 3,042.332.0 6,794.2

9,399.71,403.9 3,627.9 489.0 56.5 3,049.1 3,110.0 11,736.3

4,700.1 4,700.11,403.93,627.9

489.056.5

3,049.12,952.5 3,964.0 7,261.9

1,288.6 1,288.625,095.9

11,736.3 4,700.1 1,403.9 3,627.9 489.0 56.5 3,049.1 7,261.9 1,288.6 25,095.9

O T H E R I N S T I T U T I O N S

Page 34: A 1998 Social Accounting Matrix for Malawi

List of Discussion Papers No. 1 - "Land, Water, and Agriculture in Egypt: The Economywide Impact of Policy

Reform" by Sherman Robinson and Clemen Gehlhar (January 1995) No. 2 - "Price Competitiveness and Variability in Egyptian Cotton: Effects of Sectoral

and Economywide Policies" by Romeo M. Bautista and Clemen Gehlhar (January 1995)

No. 3 - "International Trade, Regional Integration and Food Security in the Middle East"

by Dean A. DeRosa (January 1995) No. 4 - "The Green Revolution in a Macroeconomic Perspective: The Philippine Case"

by Romeo M. Bautista (May 1995) No. 5 - "Macro and Micro Effects of Subsidy Cuts: A Short-Run CGE Analysis for

Egypt" by Hans Löfgren (May 1995)

No. 6 - "On the Production Economics of Cattle" by Yair Mundlak, He Huang and Edgardo Favaro (May 1995)

No. 7 - "The Cost of Managing with Less: Cutting Water Subsidies and Supplies in

Egypt's Agriculture" by Hans Löfgren (July 1995, Revised April 1996) No. 8 - "The Impact of the Mexican Crisis on Trade, Agriculture and Migration" by

Sherman Robinson, Mary Burfisher and Karen Thierfelder (September 1995) No. 9 - "The Trade-Wage Debate in a Model with Nontraded Goods: Making Room for

Labor Economists in Trade Theory" by Sherman Robinson and Karen Thierfelder (Revised March 1996)

No. 10 - "Macroeconomic Adjustment and Agricultural Performance in Southern Africa: A

Quantitative Overview" by Romeo M. Bautista (February 1996) No. 11 - "Tiger or Turtle? Exploring Alternative Futures for Egypt to 2020" by Hans

Löfgren, Sherman Robinson and David Nygaard (August 1996) No. 12 - "Water and Land in South Africa: Economywide Impacts of Reform - A Case

Study for the Olifants River" by Natasha Mukherjee (July 1996) No. 13 - "Agriculture and the New Industrial Revolution in Asia" by Romeo M. Bautista

and Dean A. DeRosa (September 1996)

Page 35: A 1998 Social Accounting Matrix for Malawi

No. 14 - "Income and Equity Effects of Crop Productivity Growth Under Alternative Foreign Trade Regimes: A CGE Analysis for the Philippines" by Romeo M. Bautista and Sherman Robinson (September 1996)

No. 15 - "Southern Africa: Economic Structure, Trade, and Regional Integration" by

Natasha Mukherjee and Sherman Robinson (October 1996) No. 16 - "The 1990's Global Grain Situation and its Impact on the Food Security of

Selected Developing Countries" by Mark Friedberg and Marcelle Thomas (February 1997)

No. 17 - "Rural Development in Morocco: Alternative Scenarios to the Year 2000" by

Hans Löfgren, Rachid Doukkali, Hassan Serghini and Sherman Robinson (February 1997)

No. 18 - "Evaluating the Effects of Domestic Policies and External Factors on the Price

Competitiveness of Indonesian Crops: Cassava, Soybean, Corn, and Sugarcane" by Romeo M. Bautista, Nu Nu San, Dewa Swastika, Sjaiful Bachri and Hermanto (June 1997)

No. 19 - "Rice Price Policies in Indonesia: A Computable General Equilibrium (CGE)

Analysis" by Sherman Robinson, Moataz El-Said, Nu Nu San, Achmad Suryana, Hermanto, Dewa Swastika and Sjaiful Bahri (June 1997)

No. 20 - "The Mixed-Complementarity Approach to Specifying Agricultural Supply in

Computable General Equilibrium Models" by Hans Löfgren and Sherman Robinson (August 1997)

No. 21 - "Estimating a Social Accounting Matrix Using Entropy Difference Methods" by

Sherman Robinson and Moataz-El-Said (September 1997) No. 22 - "Income Effects of Alternative Trade Policy Adjustments on Philippine Rural

Households: A General Equilibrium Analysis" by Romeo M. Bautista and Marcelle Thomas (October 1997)

No. 23 - "South American Wheat Markets and MERCOSUR" by Eugenio Díaz-Bonilla

(November 1997) No. 24 - "Changes in Latin American Agricultural Markets" by Lucio Reca and Eugenio

Díaz-Bonilla (November 1997) No. 25* - "Policy Bias and Agriculture: Partial and General Equilibrium Measures" by

Romeo M. Bautista, Sherman Robinson, Finn Tarp and Peter Wobst (May 1998)

Page 36: A 1998 Social Accounting Matrix for Malawi

No. 26 - "Estimating Income Mobility in Colombia Using Maximum Entropy Econometrics" by Samuel Morley, Sherman Robinson and Rebecca Harris (Revised February 1999)

No. 27 - "Rice Policy, Trade, and Exchange Rate Changes in Indonesia: A General

Equilibrium Analysis" by Sherman Robinson, Moataz El-Said and Nu Nu San (June 1998)

No. 28* - "Social Accounting Matrices for Mozambique - 1994 and 1995" by Channing

Arndt, Antonio Cruz, Henning Tarp Jensen, Sherman Robinson and Finn Tarp (July 1998)

No. 29* - "Agriculture and Macroeconomic Reforms in Zimbabwe: A Political-Economy

Perspective" by Kay Muir-Leresche (August 1998) No. 30* - "A 1992 Social Accounting Matrix (SAM) for Tanzania" by Peter Wobst

(August1998)

No. 31* - "Agricultural Growth Linkages in Zimbabwe: Income and Equity Effects" by Romeo M. Bautista and Marcelle Thomas (September 1998)

No. 32* - "Does Trade Liberalization Enhance Income Growth and Equity in Zimbabwe? The

Role of Complementary Polices" by Romeo M.Bautista, Hans Lofgren and Marcelle Thomas (September 1998)

No. 33 - "Estimating a Social Accounting Matrix Using Cross Entropy Methods" by

Sherman Robinson, Andrea Cattaneo and Moataz El-Said (October 1998) No. 34 - "Trade Liberalization and Regional Integration: The Search for Large Numbers" by

Sherman Robinson and Karen Thierfelder (January 1999) No. 35 - "Spatial Networks in Multi-Region Computable General Equilibrium Models" by

Hans Löfgren and Sherman Robinson (January 1999) No. 36* - "A 1991 Social Accounting Matrix (SAM) for Zimbabwe" by Marcelle Thomas,

and Romeo M. Bautista (January 1999) No. 37 - "To Trade or not to Trade: Non-Separable Farm Household Models in Partial and

General Equilibrium" by Hans Löfgren and Sherman Robinson (January 1999) No. 38 - "Trade Reform and the Poor in Morocco: A Rural-Urban General Equilibrium

Analysis of Reduced Protection" by Hans Löfgren (January 1999) No. 39 - "A Note on Taxes, Prices, Wages, and Welfare in General Equilibrium Models"

by Sherman Robinson and Karen Thierfelder (January 1999)

Page 37: A 1998 Social Accounting Matrix for Malawi

No. 40 - "Parameter Estimation for a Computable General Equilibrium Model: A Maximum Entropy Approach" by Channing Arndt, Sherman Robinson and Finn Tarp (February 1999)

No. 41 - "Trade Liberalization and Complementary Domestic Policies: A Rural-Urban

General Equilibrium Analysis of Morocco" by Hans Löfgren, Moataz El-Said and Sherman Robinson (April 1999)

No. 42 - "Alternative Industrial Development Paths for Indonesia: SAM and CGE

Analysis" by Romeo M. Bautista, Sherman Robinson and Moataz El-Said (May 1999)

No. 43* - "Marketing Margins and Agricultural Technology in Mozambique" by Channing

Arndt, Henning Tarp Jensen, Sherman Robinson and Finn Tarp (July 1999) No. 44 - "The Distributional Impact of Macroeconomic Shocks in Mexico: Threshold

Effects in a Multi-Region CGE Model" by Rebecca Lee Harris (July 1999)

No. 45 - "Economic Growth and Poverty Reduction in Indochina: Lessons From East Asia" by Romeo M. Bautista (September 1999)

No. 46* - "After the Negotiations: Assessing the Impact of Free Trade Agreements in

Southern Africa" by Jeffrey D. Lewis, Sherman Robinson and Karen Thierfelder (September 1999)

No. 47* - "Impediments to Agricultural Growth in Zambia" by Rainer Wichern, Ulrich

Hausner and Dennis K. Chiwele (September 1999) No. 48 - "A General Equilibrium Analysis of Alternative Scenarios for Food Subsidy

Reform in Egypt" by Hans Lofgren and Moataz El-Said (September 1999)

No. 49*- “ A 1995 Social Accounting Matrix for Zambia” by Ulrich Hausner (September 1999)

No. 50 - “Reconciling Household Surveys and National Accounts Data Using a Cross

Entropy Estimation Method” by Anne-Sophie Robilliard and Sherman Robinson (November 1999)

No. 51 - “Agriculture-Based Development: A SAM Perspective on Central Viet Nam” by

Romeo M. Bautista (January 2000) No. 52 - “Structural Adjustment, Agriculture, and Deforestation in the Sumatera Regional

Economy” by Nu Nu San, Hans Löfgren and Sherman Robinson (March 2000)

Page 38: A 1998 Social Accounting Matrix for Malawi

No. 53 - “Empirical Models, Rules, and Optimization: Turning Positive Economics on its Head” by Andrea Cattaneo and Sherman Robinson (April 2000)

No. 54 - “Small Countries and the Case for Regionalism vs. Multilateralism”

by Mary E. Burfisher, Sherman Robinson and Karen Thierfelder (May 2000)

No. 55 - “Genetic Engineering and Trade: Panacea or Dilemma for Developing Countries” by Chantal Pohl Nielsen, Sherman Robinson and Karen Thierfelder

(May 2000) No. 56 - “An International, Multi-region General Equilibrium Model of Agricultural Trade

Liberalization in the South Mediterranean NIC’s, Turkey, and the European Union” by Ali Bayar, Xinshen Diao, A. Erinc Yeldan (May 2000)

No. 57* - “Macroeconomic and Agricultural Reforms in Zimbabwe: Policy

Complementarities Toward Equitable Growth” by Romeo M. Bautista and Marcelle Thomas (June 2000)

No. 58 - “Updating and Estimating a Social Accounting Matrix Using Cross Entropy

Methods ” by Sherman Robinson, Andrea Cattaneo and Moataz El-Said (August 2000)

No. 59 - “Food Security and Trade Negotiations in the World Trade Organization : A Cluster

Analysis of Country Groups ” by Eugenio Diaz-Bonilla, Marcelle Thomas, Andrea Cattaneo and Sherman Robinson (November 2000)

No. 60* - “Why the Poor Care About Partial Versus General Equilibrium Effects Part 1:

Methodology and Country Case’’ by Peter Wobst (November 2000) No. 61 - “Growth, Distribution and Poverty in Madagascar : Learning from a

Microsimulation Model in a General Equilibrium Framework ” by Denis Cogneau and Anne-Sophie Robilliard (November 2000)

No. 62 - “Farmland Holdings, Crop Planting Structure and Input Usage: An Analysis of

China’s Agricultural Census” by Xinshen Diao, Yi Zhang and Agapi Somwaru (November 2000)

No. 63 - “Rural Labor Migration, Characteristics, and Employment Patterns: A Study Based

on China’s Agricultural Census” by Francis Tuan, Agapi Somwaru and Xinshen Diao (November 2000)

No. 64 - “GAMS Code for Estimating a Social Accounting Matrix (SAM) Using Cross

Entropy (CE) Methods” by Sherman Robinson and Moataz El-Said (December 2000)

Page 39: A 1998 Social Accounting Matrix for Malawi

No. 65 - “A Computable General Equilibrium Analysis of Mexico’s Agricultural Policy Reforms” by Rebecca Lee Harris (January 2001)

No. 66 - “Distribution and Growth in Latin America in an Era of Structural Reform” by Samuel A. Morley (January 2001) No. 67 - “What has Happened to Growth in Latin America” by Samuel A. Morley (January

2001) No. 68 - “China’s WTO Accession: Conflicts with Domestic Agricultural Policies and

Institutions” by Hunter Colby, Xinshen Diao, and Francis Tuan (January 2001)

No. 69 - “A 1998 Social Accounting Matrix for Malawi” by Osten Chulu and Peter Wobst (February 2001)

TMD Discussion Papers marked with an ‘*’ are MERRISA-related. Copies can be obtained by calling Maria Cohan at 202-862-5627 or e-mail: [email protected]