After some months of struggling with data from different sources, a first version of a Social Accounting Matrix (SAM) for the Spanish economy has been completed. This will be primarily used to feed the model that is going to test different environmental taxation policies under the METRES project. This matrix, however, will be upgraded/updated for more periods/industries/commodities as the development of the project requires it and more information is available. This is an important milestone of the METRES project.
A SAM is a central piece of a general equilibrium model, and represents the flows of all economic transactions that take place within an economy and between all economic agents. It contains the basic information on the economic structure for a specific period. Beyond being used for modeling purposes, it is a fantastic source of economic information, as it summarizes the National Accounts for a given economy, providing information of monetary flows between agents.
The developed SAM contains a highly detailed information on industry/commodity supply and use tables. Specifically, for 101 industries and the same number of commodities, with a high disaggregation of the electricity sector for different production technologies (coal, gas, nuclear, hydro, wind, petroleum, biomass, solar photovoltaic, solar thermal, transmission and distribution); and also for the waste management sector (incineration, biogasification, composting and landfill for different fractions). This detail will allow to test different environmental taxes on specific electricity and waste technologies, and to show the specific effect on them.
The way it has been developed allows for the inclusion of environmental accounts for many different resources use (with special emphasis on fossil fuels use) and pollutant emissions from different sources and initiatives like Exiobase. This inclusion will provide simulations not only on the economic effects but also the environmental effects of different proposed policies, like an Environmental Tax Reform.
It has been developed in collaboration with Mun Ho (Harvard – Resources for the future).