A 1998 Social Accounting Matrix (SAM) for Paraguay

Paraguay is a small open economy, heavily dependent on agricultural commodities and on regional conditions. This has left the economy vulnerable to events over which it has little control, including international commodity prices and political and economic events in its neighbours. The most important economic problem for Paraguay is lack of growth. For example between 1990 and 1995, per capita Chilean GDP grew in average 5,3% while in Paraguay the average growth rate was only 0,5%. A study like the Social Accounting Matrix (SAM) is of particular importance for a country where the recovery of political rights and the consolidation of democratic institutions since 1989 have not been accompanied by economic growth and poverty alleviation.