IS THE GROWTH IN AUTOMOTIVES BENEFICIAL FOR SLOVAKIA? AN APPLIED CGE MODEL STUDY
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A static computable general equilibrium model of an open economy applied to the economy of Slovak Republic is presented in this paper. The data base of the model is a social accounting matrix created and adapted for purposes of this model and based on 2004 data. A methodology of a social accounting matrix disaggregation as an optimization problem of goal programming is proposed. The model applies to the automotive sector and shows how to analyze the impacts of changes in policy making such as increase of export, increase of export price and drop in production.
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