| One of the main purposes of this dissertation is to construct an environmental-social accounting system (ESAM) for Mexico from different data sources. These include the Mexico National Income and Products Accounts, the 1985 Input-Output Table, the Household Income and Expenditure Survey, and the Environmental Accounts. ESAM would provide a new and expanded data system for taking full account of the use and depletion of Mexico's natural and environmental resources, and their linkages to production. The ESAM shows how environmental asset changes can be integrated into a social accounting matrix (SAM) framework.; Applying the SAM multiplier analysis to the ESAM model, economic repercussions from natural resources depletion and environmental degradation on the Mexican economy were conducted to show and measure their structural interdependencies on the economy.; Results show that the traditional Leontief multiplier yields an underestimate of the interdependencies within the economy. The analyses focuses on direct and indirect effects of changes in exogenous variables, such as those associated with changes in government expenditure. The pure indirect effects have strong affects on the use and conservation of environmental resources such as air, water, and soil degradation. These effects are shown to have important impacts on the long term sustainability of the nation's economy. Linkages between natural resources and production is weak, whereas environmental resources demonstrate strong linkages with domestic economic activity.; The policy simulations performed with the aid of total accounting multipliers show capital investments linked to natural and environmental resources be a key determinant of income. Government expenditures should be also revaluated for other non-publicly owned sectors. These include agriculture related industry, forestry, and transportation industry. |
