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The Interregional Input–Output System for Colombia

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The Colombian Economy and Its Regional Structural Challenges

Abstract

The first objective of this chapter is to present a detailed description of the procedures used to construct the interregional input–output system for Colombia with 2015 data. This tool facilitates analyzing the interrelationships among departments of the country concerning trade flows. The chapter details the methodological procedures adopted to generate the interregional system and the database used by other researchers and practitioners. Different applications are discussed in Part III of this volume, identifying structural features of Colombia’s regional economies. In this chapter, the authors also present illustrative analyses using different indicators from the estimated database, revealing some of the main structural features of the economy of Colombia.

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Notes

  1. 1.

    For surveys on recent approaches to non-survey estimation of inter-regional trade systems, refer to Gabela (2020) and Hewings & Oosterhaven (2021).

  2. 2.

    Acosta and Bonet in Chap. 4 of this book found limited interregional spillover effects in the economic growth of Colombian departments derived from a spatial econometric estimation.

  3. 3.

    This approach has been applied for distinct interregional systems: interisland model for the Azores (Haddad et al., 2015), interregional models for Brazil (Haddad et al., 2017), Colombia (Haddad et al., 2018), Egypt (Haddad et al., 2016a, 2016b), Greece (Haddad et al., 2020a), Lebanon (Haddad, 2014), Mexico (Haddad et al., 2020b), Morocco (Haddad et al., 2020c), and Paraguay (Haddad et al., 2021).

  4. 4.

    In the following presentation, we abstract from the NPISH component of final demand, whose treatment follows the same procedure as those presented for the other components of domestic absorption.

  5. 5.

    The OD matrix provides information for the following sectors: S1-S3, S5-S6, S10-S13, S15-S32, and S44. For the remaining sectors, we used the most similar sector available.

  6. 6.

    Cai (2022) discusses a calibration procedure for estimating bilateral trade between the regions of a country.

  7. 7.

    For more details, see Miller and Blair (2009).

  8. 8.

    The contribution of external demand for regional output varies considerably by Department (see Chap. 9 of this book).

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Correspondence to Eduardo A. Haddad .

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Appendices

Appendix 1: List of Regions

DANE Code

Region

Department

5

R1

Antioquia

8

R2

Atlántico

11

R3

Bogotá D.C

13

R4

Bolívar

15

R5

Boyacá

17

R6

Caldas

18

R7

Caquetá

19

R8

Cauca

20

R9

Cesar

23

R10

Córdoba

25

R11

Cundinamarca

27

R12

Chocó

41

R13

Huila

44

R14

La Guajira

47

R15

Magdalena

50

R16

Meta

52

R17

Nariño

54

R18

Norte de Santander

63

R19

Quindío

66

R20

Risaralda

68

R21

Santander

70

R22

Sucre

73

R23

Tolima

76

R24

Valle del Cauca

81

R25

Arauca

85

R26

Casanare

86

R27

Putumayo

88

R28

San Andrés

91

R29

Amazonas

94

R30

Guainía

95

R31

Guaviare

97

R32

Vaupés

99

R33

Vichada

Appendix 2: List of sectors

Id

Sector

CIIU Rev. 4 AC

S1

Agriculture

A0101

S2

Coffee growing

003

S3

Livestock and hunting

A0102

S4

Forestry and logging

A02

S5

Fishing and aquaculture

A03

S6

Mining of coal and lignite

017

S7

Extraction of crude petroleum and natural gas

018 021 022

S8

Mining of metal ores

019

S9

Other mining and quarrying

020

S10

Processing and preserving of meat and preserving of fish, crustaceans, and mollusks

023 024 025

S11

Processing of vegetable and animal oils and fats

026

S12

Processing of dairy products

027

S13

Processing of grain mill products, starches, and starch products

028 032 035

S14

Processing of coffee products

029

S15

Processing of sugar

030 031

S16

Processing of cocoa, chocolate, and sugar confectionery

033

S17

Processing and preserving of fruit and vegetables

034

S18

Manufacture of beverages; manufacture of tobacco products

036

S19

Manufacture of textiles; manufacture of wearing apparel

037 038

S20

Manufacture of leather and related products

039

S21

Manufacture of wood and products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials

040

S22

Manufacture of paper and paper products; printing and reproduction of recorded media

041 042

S23

Manufacture of coke and refined petroleum products

043 044

S24

Manufacture of chemicals and chemical products; manufacture of pharmaceuticals, medicinal chemical, and botanical products

045 046 047

S25

Manufacture of rubber and plastics products

048

S26

Manufacture of other non-metallic mineral products

049

S27

Manufacture of basic metals; manufacture of fabricated metal products, except machinery and equipment

050 051

S28

Manufacture of electrical equipment; manufacture of computer, electronic and optical products

052

S29

Manufacture of machinery and equipment NEC; repair and installation of machinery and equipment

053 057

S30

Manufacture of motor vehicles, trailers, and semi-trailers; Manufacture of other transport equipment

054

S31

Manufacture of furniture

055

S32

Other manufacturing

056

S33

Electricity

058 059 060

S34

Gas, steam and air conditioning supply

061

S35

Water collection, treatment and supply

062

S36

Sewerage; waste collection, treatment and disposal activities; materials recovery

063 064 065 066

S37

Construction

067 068 069

S38

Wholesale and retail trade

070

S39

Repair of motor vehicles and motorcycles

071

S40

Land transport and transport via pipelines

072 074

S41

Water transport

073

S42

Air transport

075

S43

Warehousing and support activities for transportation

076

S44

Postal and courier activities

077

S45

Accommodation and food service activities

I (078–080)

S46

Information and communication

J (081–084)

S47

Financial and insurance activities

K (085–088)

S48

Real estate activities

089

S49

Professional, scientific and technical activities; administrative and support service activities

M + N (090–097)

S50

Public administration and defense; compulsory social security

O (098–099)

S51

Education

100 101

S52

Human health and social work activities

Q (102–103)

S53

Arts, entertainment, and recreation; other service activities

R + S (104–108)

S54

Activities of households as employers

109

Appendix 3: Sectoral GRP Data

DANE publishes sectoral GRP information for 12 activity sectors in the 33 regions of Colombia for 2015. To obtain a more disaggregated sectoral structure, we disaggregated the sectoral structure using regional shares from other databases. This disaggregation procedure considered the consistency with the sectoral information available at the SUT at the national level. Table 5.3 shows the sectoral structure after the disaggregation of the sectors. This table also exhibits the variables used to calculate regional shares.

Table 5.3 Data sources used to calculate regional shares of sectoral output

After calculating the regional shares for each SUT sector, the respective sectoral value-added estimates at the national level (from the national IO table) were distributed across the 33 Colombian regions. Next, the consistency of the regionalized data with GRP estimates was ensured using the bi-proportional adjustment method, RAS.

DANE publishes information about international trade statistics for 97 products and 33 departments. After calculating the regional shares for each IIOM-COL sector, the respective sectoral exports estimate at the national level (from the national IO table) were distributed across the 33 Colombian regions (Table 5.4).

Table 5.4 Data sources used to calculate regional shares of sectoral output (manufacturing)

Appendix 4: Average Travel Time (in Minutes)

See Fig. 5.10.

Fig. 5.10
A table of 33 columns and 33 rows. The column headers are, a series from R 1 to R 33. The row headers are a series from R 1 to R 33. The diagonal values are 0.

Average travel time (in minutes) matrix

Appendix 5A: Interregional Trade in Colombia, 2015 (in COP Billions)

See Fig. 5.11.

Fig. 5.11
A table of 35 columns titled, destination, and 35 rows titled, origin. The column headers are, a series from R 1 to R 33, row, and total. The row headers are a series from R 1 to R 33, row, and total.

Interregional trade in Colombia, 2015 (in COP billions)

Appendix 5B: Interregional Trade in Colombia: Purchases Shares, 2015

See Fig. 5.12.

Fig. 5.12
A table of 35 columns titled, destination, and 35 rows titled, origin. The column headers are, a series from R 1 to R 33, row, and total. The row headers are a series from R 1 to R 33, row, and total. All the diagonal values, except the last 2, are highlighted.

Interregional trade in Colombia: purchases shares, 2015

Appendix 5C: Interregional Trade in Colombia: Sales Shares, 2015

See Fig. 5.13.

Fig. 5.13
A table of 35 columns titled, destination, and 35 rows titled, origin. The column headers are, a series from R 1 to R 33, row, and total. The row headers are a series from R 1 to R 33, row, and total. All the diagonal values, except the last 2, and a few other values are highlighted.

Interregional trade in Colombia: sales shares, 2015

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Haddad, E.A., Galvis-Aponte, L.A., Araújo, I.F. (2023). The Interregional Input–Output System for Colombia. In: Haddad, E.A., Bonet, J., Hewings, G.J.D. (eds) The Colombian Economy and Its Regional Structural Challenges. Advances in Spatial Science. Springer, Cham. https://doi.org/10.1007/978-3-031-22653-3_5

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