Abstract

The Social Accounting Matrix (SAM) is one of the more useful tools of economic research. The matrix can be used for policy analysis and economic planning, and offers an efficient means of summarizing complex economic relationships and identifying gaps in statistical information. This project supports the construction of a SAM for Swaziland. Researchers will exploit material used in the construction of the matrix and the matrix itself for teaching purposes; and apply the SAM to the analysis of policy choices, particularly those relating to the attainment of a higher employment rate, a more equitable distribution of income, and greater national self-reliance.

Post-Project Summary

This project created a Social Accounting Matrix (SAM) for Swaziland but initially conducted a survey of the urban informal sector (UIS) - part of the urban economy, such as self-employed persons, usually excluded in statistical analyses. Researchers surveyed 1 258 households and found 348 were involved in informal activities. Results were then codified. It was found that the UIS played a significant role in the national economy and deserved emphasis in the country's development strategies. Characteristics of the owners of UIS businesses were also identified. The UIS was then incorporated into the SAM to determine its relation to the rest of the economy. It was noted that an aggregated and a disaggregated SAM were developed and represented a snapshot of the Swaziland economy for the year 1985/86. It was added that the SAM made it possible to numerically describe the economy in a comprehensive, integrated, and internally consistent manner. Furthermore, the project expanded the amount of teaching material available on the Swaziland economy. It was noted, however, that the SAM had not yet been used for policy making, nor had it been evaluated.

Recipient Institution(s)