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Mixed Income Importance and its Linkage with Sectors’ Employment Capacity in the Semi-Matrix Social Accounting (in Persian)

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  • Banou’i, Ali-Asghar

    (Iran)

  • Mahmoudi, Mina

    (Iran)

Abstract

Due to restrictions in socioeconomic analyses of sector and macro accounting systems and so as to satisfy the need to consistent and integrated statistics on modern economic development visions during last three decades, the researches used middle accounting system patterns to overcome the shortcomings. The way of considering household consumption and income in the most detailed form and linking it to income distribution, employment and population are some of the fundamental applications of these patterns. According to accounting logic, the sum of all entries (incomes) in any account should be equal to that of consumption in an accounting period. Input-output table can show income-consumption equality in productive activities. However, this equality can not be pragmatically ensured for household in sector and macro accounting systems. Balancing household income and consumption can be practiced merely through certain assumptions in line with productive activities. Applying these assumptions while neglecting mixed income considered in operational surplus brings about limitations in income distribution and in its linkage to employment in sectors. Mixed income calculations and its linkage to income distribution and to employment have stayed enigmatic. The paper is based on 10 scenarios in the context of social accounting semi-matrix system as well as on their comparison with accounting system input-output table. Household income-consumption balancing, mixed income calculation, geographical location, households’ interactions, and their linkage with sectors’ potential employment capacity are the items studied in the scenarios. The study results inform that four scenarios (out of ten) have necessary conditions for quantitative analyses but lack sufficient condition because of ignoring mixed income importance in sectors’ employment capacity. Thus, there are two scenarios with both necessary and sufficient conditions that can be used in quantitative analyses of sectors’ employment capacity.

Suggested Citation

  • Banou’i, Ali-Asghar & Mahmoudi, Mina, 2002. "Mixed Income Importance and its Linkage with Sectors’ Employment Capacity in the Semi-Matrix Social Accounting (in Persian)," The Journal of Planning and Budgeting (٠صلنامه برنامه ریزی Ùˆ بودجه), Institute for Management and Planning studies, vol. 7(2), pages 87-120, July.
  • Handle: RePEc:auv:jipbud:v:7:y:2002:i:2:p:87-120
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