Future Developments in Rural Areas: Combining Micro and Macro

Eveline S. Leeuwen ()
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Eveline S. Leeuwen: VU University Amsterdam

Chapter Chapter 7 in Urban-Rural Interactions, 2010, pp 137-155 from Springer

Abstract: Abstract A great advantage of social accounting matrices (SAM) is their ability to capture a wide variety of processes in a (macro) economy as it links production, factor and income accounts. However, it lacks a certain distributional detail. A major advantage of (spatial) microsimulation (MSM) is the way in which individual behaviour can be simulated, which can be aggregated to show local or regional changes in, for example, household demand. A relatively new approach is to link micro models with macro-economic applications to capture indirect effects of individual behaviour. Our aim is to evaluate future population and future retail developments and the effect on the local economy. Therefore we combine SIMtown with the behavioural MNL model from Chap. 3 to simulate the effect of developments, such as the opening of a new shop or retail centre in town and hinterland. Then, we will estimate the macro effects of these developments, mainly the effects on the retail sector with help of an aggregated retail multiplier. This analysis will show how different locations for retail developments will have different impacts on the local economy.

Keywords: Micro Model; Retail Sector; Grocery Shopping; Floor Space; Shopping Behaviour (search for similar items in EconPapers)
Date: 2010
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DOI: 10.1007/978-3-7908-2407-0_7

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