Portugal's entry into the EEC: Aggregate and distributional effects determined by means of a general equilibrium model Academic Article uri icon


  • This paper addresses the question of how to construct a policy-oriented model on the basis of a social-accounting matrix (SAM). Starting from a Portuguese SAM, a general-equilibrium model is developed step by step, and when appropriate options are indicated for the model's specification. The model is then applied with Portuguese data to the computation of general-income multipliers in order to provide a preliminary assessment of the aggregative and distributional effects on Portugal of entry into the European Economic Community. Increases in the availability of foreign exchange are found to affect urban incomes more than rural incomes and to affect the lower-income groups more than the upper-income groups in both rural and urban areas. the general-equilibrium model developed here contains production functions of the process-analysis type, labor-supply functions, possibilities for substitution among types of labor and between labor and capital, export and import functions, and a simple set of government accounts. 1986.

published proceedings

  • Journal of Policy Modeling

author list (cited authors)

  • Norton, R. D., Scandizzo, P. L., & Zimmerman, L. W.

citation count

  • 5

complete list of authors

  • Norton, Roger D||Scandizzo, Pasquale L||Zimmerman, Linda W

publication date

  • January 1986