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THE                      JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.80, # 2, 2023, pp. 28-46

                    However, according to the SAM-based model, this demand is 93.6 thousand manats.
                    This shows that more than half of the demand for intermediate products of the ‘Mining
                    industry’ by the ‘Production of non-metallic products and base metals’ sector and by
                    the  sectors  from  which  it  receives  intermediate  products  is  covered  by  imported
                    products. If we look at the sector of ‘Agriculture, forestry and fishing’, we can see
                    that the demand for this sector due to production relations is 5 thousand manats, and
                    the demand for the SAM-based model is 42.8 thousand manats. The reason for this
                    increase is that the increase in the income of the population through the increase of
                    the value added as a result of the increase in the production volume in all sectors to
                    meet the demand for the ‘Production of non-metallic products and base metals’ sector
                    increases the demand for the products of this sector. We can observe the same trend
                    in the field of ‘Production of food, drinks and tobacco’, as well as in most service
                    sectors.  This  means  that  the  increase  in  population  income  is  primarily  spent  on
                    meeting the demand for the products of these areas.

                    Table 6 shows the multiplicative effects of an increase in demand of 1 million manats
                    for the products of ‘Production of machinery, equipment, and furniture’. Here, too,
                    we  observe  the  trend  in  other  groups  of  the  manufacturing  industry.  Thus,  the
                    additional demand caused by the 1 million investment due to production relations is
                    2.08 million manats, while according to the SAM-based model, this figure is much
                    less - 1.3 million manats. The increase in this sector itself is 1.3 million manats due to
                    production relations, and 1.1 million manats according to the SAM-based model. The
                    2nd sector where the highest growth due to iroduction relations is observed is the field
                    of ‘Professional and technical activities’. Although the demand for the products of
                    this field  is  215.5 thousand manats  due to  production relations, as  a result of the
                    payment of most of this demand by import, the SAM-based model shows a demand
                    of only 42.3 thousand manats. The same trend is observed in ‘Production of non-
                    metallic products and base metals’, which is the 3rd sector with the highest growth.
                    Although  the  additional  demand  in  this  area  according  to  the  io  model  is  193.7
                    thousand manats, the SAM-based model shows an increase in demand of only 48.4
                    thousand manats. In the areas of ‘Agriculture, forestry and fishing’, ‘Production of
                    food,  drinks  and  tobacco’,  ‘Education’,  ‘Healthcare’,  ‘Social  Services’,  ‘Rest,
                    entertainment, art services’, the result of the SAM-based model is higher than that of
                    the io model, which is due to the demand for the products of these areas due to the
                    increase in value added.










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