Structural Decomposition Analysis

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Definition

Structural Decomposition Analysis (SDA) aims at decomposing the total amount of change in some aspect of an economy. In an input-output framework, the total change in gross output (or in any economic variable that is function of it) can be broken into technical changes, final-demand changes, and other elements of the system. In the case of multi-regional systems, the Leontief-like multiplier matrix contains information on both technical coefficients and trade proportions[1]

References

  1. R.E. Miller and P.D. Blair, Input-Output Analysis: Foundations and Extensions, Second Edition, Cambridge University Press, 2009