2.3. From SUT to economic development
Economic activities have strong impact on the environment, and
vice-versa. However until recently, environmentally related data have been
given little attention in National accounting system .As Bartelmus at al.
(1993) pointed out, the SNA fails; consider (a) new scarcities of natural
resources that could threaten the sustained production of the economy and (b)
the degradation of environmental quality caused mainly by pollution and its
effects on human health and welfare.
To overcome these short coming ,the United Nations begin to
revise the SNA in 1993.The revised version contains special satellite accounts
for the environment as supplement to the central system (United Nations 1993
a.b).In addition to the UN's effort in revising the SNA , a few other studies
on integrating environmental accounts with economic accounts have been seen in
the literature .For the SAM in particular, studies on incorporating pollution
emission and environmental impacts in a SAM framework emerged recently.
Keuning (1993) proposed a extended SAM called the National
Accounting Matrix including Environment Accounts (NAMEA) .The NAMEA integrates
economic accounts with accounts for pollutants and environmental impacts. In
the NAMEA economic flows in monetary terms and pollution effects in physical
terms are combined into a single information framework .Pollution emissions
from production, consumption, storage, imports and exports (SUT's variables)
are presented in emission account and further allocated into a set of
environmental themes (Keuning 1998: 438-439).
2.3.1. System of Economic and
Social Accounting Matrix and Extension (SESAME)
SESAME is statistical information in matrix
format from which a set of core economic, environmental and social
macro-indicators is derived (Steven 1996; 2). SESAMEs
macro-indicators can be seen as tips of a big iceberg. The general
public, the media and busy policy makers are and will be satisfied with a
picture in which only these tips emerge.
In this, SESAME serves as a useful extension of present day
national accounts, in two aspects. First, the SAM
«a Social Accounting Matrix
(SAM) is a matrix presentation of a sequence of monetary
accounts that each shows a certain economic process and its relation to other
economic process (Steven 1996; 9)»- part of a SESAME improves the
compilation of national accounts because it integrates more basic sources at
meso-level. Secondly SESAME is apt to integrate all kinds of social and
environmental statistics (Steven 1996; 145).
2.3.2. Supply and Use table as a
SAM building-block
In analogy with the inverse of Input-Output Table or Supply
and Use Table, the inverse of endogenous part of a SAM provides a framework for
a single, linear model .However a SAM-based inverse enables a more complete
analysis of employment multipliers, of exogenous changes in government
expenditure and foreign trade (Steven 1996; 151).
Therefore from, a simple, linear model SAM is embedded into a
so-called Applied General Equilibrium (AGE) model. These economic-wide models
take account of price-quantity interrelation. They apply micro-economic insight
and income distribution of a range of policies, from trade liberalization
measures to tax rate changes and structural adjustment packages.
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