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Linking multisectoral economic models and consumption surveys for the European Union

Author

Listed:
  • Ignacio Cazcarro
  • Antonio F. Amores
  • Inaki Arto
  • Kurt Kratena

Abstract

Multisectoral models usually have a single representative household. However, more diversity of household types is needed to analyse the effects of multiple phenomena (i.e. ageing, gender inequality, distributional income impact, etc.). Household consumption surveys’ microdata is a rich data source for these types of analysis. However, feeding multisectoral models with this type of information is not simple and recent studies show how even slightly inaccurate procedures might result in significantly biased results. This paper presents the full procedure for feeding household consumption microdata into macroeconomic models and for the first time provides in a systematic way an estimation of the bridge matrices needed to link European Union Household Budget Surveys’ microdata with the most popular multi-regional input–output frameworks (e.g. Eurostat, WIOD, EORA, OECD).

Suggested Citation

  • Ignacio Cazcarro & Antonio F. Amores & Inaki Arto & Kurt Kratena, 2022. "Linking multisectoral economic models and consumption surveys for the European Union," Economic Systems Research, Taylor & Francis Journals, vol. 34(1), pages 22-40, January.
  • Handle: RePEc:taf:ecsysr:v:34:y:2022:i:1:p:22-40
    DOI: 10.1080/09535314.2020.1856044
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    Cited by:

    1. Clio Ciaschini & Margherita Carlucci & Francesco M. Chelli & Giuseppe Ricciardo Lamonica & Luca Salvati, 2022. "Decreasing consumption because of covid-19? A multisectoral assessment," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - The Italian Journal of Economic, Demographic and Statistical Studies, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 76(2), pages 4-12, April-Jun.
    2. Distefano, Tiziano & D’Alessandro, Simone, 2023. "Introduction of the carbon tax in Italy: Is there room for a quadruple-dividend effect?," Energy Economics, Elsevier, vol. 120(C).
    3. Lévay, Petra Zsuzsa & Goedemé, Tim & Verbist, Gerlinde, 2023. "Income and expenditure elasticity of household carbon footprints. Some methodological considerations," Ecological Economics, Elsevier, vol. 212(C).
    4. Cathal ODonoghue & Beenish Amjad & Jules Linden & Nora Lustig & Denisa Sologon & Yang Wang, 2023. "The Distributional Impact of Inflation in Pakistan: A Case Study of a New Price Focused Microsimulation Framework, PRICES," Papers 2310.00231, arXiv.org, revised Mar 2024.
    5. Ali Bayar & Barbara Bratta & Silvia Carta & Paolo Di Caro & Marco Manzo & Carlo Orecchia, 2021. "Assessing the effects of VAT policies with an integrated CGE-microsimulation approach: evidence on Italy," Working Papers wp2021-14, Ministry of Economy and Finance, Department of Finance.
    6. Jules Linden & Cathal O’Donoghue & Denisa M. Sologon, 2023. "Decomposing the distributional impact of carbon taxation across six EU countries - Comparing the role of budget shares, carbon intensity, savings rates, and asset ownership," LISER Working Paper Series 2023-10, Luxembourg Institute of Socio-Economic Research (LISER).

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