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International Journal of Food and Agricultural Economics

Yıl 2013 , Cilt 1 , Sayı 1

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Başlık :

Modelling the lesotho economy: a social accounting matrix approach

Yazar kurumları :
University of the Free State, Department of Agricultural Economics1
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Using a 2000 Social Accounting Matrix (SAM) for Lesotho, this paper investigates the key features of the Lesotho economy and the role played by the agricultural sector. A novel feature of the SAM is the elaborate disaggregation of the agricultural sector into finer subcategories. The fundamental importance of agriculture development emerges clearly from a descriptive review and from SAM multiplier analysis. It is dominant with respect to income generation and value of production. It contributes 23 percent of gross domestic product and 12 percent of the total value of production. It employs 26 percent of labour and 24 percent of capital. The construction sector has the highest open SAM output multiplier (1,588) and SAM output multiplier (1.767). The household multipliers indicate that in the rural and urban areas, agriculture and mining respectively generate most household income. Agriculture has the highest employment coefficient. Agriculture and mining sectors also have the largest employment multipliers in Lesotho.

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