Progress on the Development of an Interregional Computable General Equilibrium Model for Lebanon: The Input-Output System

The main goal of this paper is to present the recent developments in the construction of an interregional input-output matrix for Lebanon (IIOM-LIBAN), in the context of an ongoing project that aims to develop an interregional computable general equilibrium (ICGE) model for the country – “The ARZ Project”. The understanding of the functioning of the Lebanese regional economies within an integrated system is one of the main goals of the ARZ Project. By exploring different methods of comparative structure analysis, it is hoped that this initial exercise will benefit from the complementarity among them, resulting in a better appreciation of the full dimensions of differences and similarities that exist among the governorates in Lebanon.