Changes in Sectorial Production of Colombian Regions: A Structural Decomposition Analysis

Abstract

Structural decomposition analysis studies changes in the total output of different sectors and regions in an economy using the input-output model. This methodology is applied to the Colombian economy, divided in seven sectors and 25 regions for 2004 and 2012. Two sets of data are used, which are estimated during the elaboration for both years of the CEER model, a multi-regional model of computable general equilibrium. Although there are many differences in the results across regions and sectors, the most important factor of change during the period was the increase in final demand.