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However, changes in liabilities are not deducted from changes in assets. 8 million. , Greenfield, 1985). It is possible to reduce the dimensions by recognising that this introduces some unnecessary redundancies. Typical SAMs already include accounts for institutions: households, businesses, governments and the rest of the world. Furthermore, durable goods and capital are purchased in commodity markets and already exist as commodity accounts. This means that one must only add the m financial market accounts and a few financial intermediary and monetary authority sector accounts.
It is to take the transaction costs outside the regional accounts altogether and deal with them via a system-level account, a 'supra-regional' account, which does not therefore have a specific regional label. Although at first sight this might seem contradictory it can be defended on the grounds that the costs of distribution, as well as all the other costs associated with exchange between countries, are really to do with the movement of goods and services between geographical locations rather than being associated themselves with any particular location.
1(c). The lack of sufficiently detailed information on commodity trade between regional blocs led to the adoption of the concept of a 'single international trading pool'. Exports from a particular country or region are delivered to the pool, while imports are drawn from it. 1 (c), where there is a system-level account - in this case a commodity pool account - whose purpose is to receive payments for commodities from the regions and to make disbursements from it back to the regions. Finally, it can be noted that as part of the compilation of a SAM for A SAM for Europe 23 Malaysia (Pyatt and Round, 1984), a number of issues to do with regional accounts and linked economies were considered in the context of the two regions of Peninsular and East Malaysia.