SIMULATION OF SOCIO-ECONOMIC SYSTEMS. PART 2. AN AGGREGATIVE SOCIO- ECONOMIC SIMULATION OF A LATIN AMERICAN COUNTRY
Abstract
The simulation is directed towards portraying some of the basic features of a Latin American country with a large Indian population. Peru, Ecuador, Bolivia, Honduras, Guatamala, and Nicaragua fall into this category. It utilizes in part the national economic accounts format developed in the Country Study Program of the Yale Economic Growth Center and the financial statistical reporting of the International Monetary Fund and World Bank. The model constructed is primarily macroeconomic with a four social sector disaggregation. The four sectors are commercial whites, agricultural whites, mestizos, and Indians. Except for several logical switches which enable the program to execute policy or other decision changes the system is composed of a series of interlinked difference equations. The simulation is a 'representative unit,' 'fixed clock' model. This means it is so highly aggregated that any sector such as 'the mestizos' is represented by a solitary behavior equation rather than a sample of behavioral units. The fixed clock feature of the model implies that all activities are updated at regular time intervals. There are no distributed lags to smooth the behavior of the behavioral units. The current model contains approximately 120 equations, of which 30 are accounting; 80 are behavioral; and 10 are planning or policy relations which are for the most part treated as exogenous.
Document Details
- Document Type
- Technical Report
- Publication Date
- Aug 08, 1966
- Accession Number
- AD0639569
Entities
People
- Martin Shubik
Organizations
- Yale University