A methodology to study price-quantity interactions in input–output modeling: an application to NextGenerationEU funds

Manuel Alejandro Cardenete (), M. Carmen Lima and Ferran Sancho

Economic Systems Research, 2025, vol. 37, issue 2, 244-262

Abstract: The standard input–output (IO) model consists of two distinct and self-contained modules that describe the underlying factors governing quantities and prices. However, these modules operate independently, existing in separated spheres where prices do not influence quantities and quantities do not affect prices. This limitation restricts the standard model's ability to evaluate market dynamics that involve simultaneous changes in both quantities and prices. To overcome this limitation, we introduce an extended version of the traditional IO price and quantity models, combining them into a unified ‘price-quantity’ model that establishes connections between the two IO modules. We apply this integrated IO model to evaluate the impact of NextGenerationEU funds on the Spanish economy utilizing input–output and national accounts data for 2016.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/09535314.2024.2337375 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: A methodology to study price-quantity interactions in input-output modeling: an application to NextGenerationEU funds (2023)
Working Paper: A Methodology to Study Price-Quantity Interactions in input-output Modeling: an Application to NextGenerationEU Funds (2023)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:ecsysr:v:37:y:2025:i:2:p:244-262

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/CESR20

DOI: 10.1080/09535314.2024.2337375

Access Statistics for this article

Economic Systems Research is currently edited by Bart Los and Manfred Lenzen

More articles in Economic Systems Research from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().