A SAM-based General Equilibrium Model of the Pakistan Economy 1983-84

Interest in Social Accounting Matrices as extensions of input-output tables has grown tremendously in the last ten years both for the purpose of obtaining a better descriptive analysis of the many intersect oral interdependencies in an economy and of household income distribution , and as data framework for macroeconomic modelling. The objective of this paper is to make use of a social accounting matrix for Pakistan on one hand and a general equilibrium model framework on the other hand to gauge the quantitative impact on the country as a whole of alternative policy options and external shock scenarios. The policy options and external shocks simulated here and the economic indicators used for this purpose are shown in Table I.