SAGE is a dynamic recursive CGE model developed by the International Food Policy Research Institute (IFPRI).
2019 Social Accounting Matrix
The model is calibrated to the 2019 Social Accounting Matrix (SAM) for South Africa developed by Seventer and Davies (2023). The SAM is enhanced by disaggregating the agriculture, mining, and energy sectors. The agriculture sector is disaggregated to reflect different crop activities and linked to food processing sub-sectors to capture respective food value chains. The underlying data used to inform the disaggregation is Phoofolo (2018). The mining and energy sectors are disaggregated to align with SATIM sub-sectors, utilizing energy and industry data. The 2019 SAM that forms the basis of the eSAGE model consists of;
- 81 activities, 88 commodities
- 6 factors of production (4 education-based labour groups, Capital, and Agricultural crop land)
- 10 household deciles based on per capita expenditure
The image below represents the flow of income from sector production to households in the 2019 SAM