RESEARCH ARTICLE SOCIAL ACCOUNTING MATRIX FOUNDED ON SYSTEM OF NATIONAL ACCOUNTING: CASE OF MEXICO *Dora E. Ledesma-Carrio ´n Lidia Herna ´ndez-Herna ´ndez, Rodolfo J. Daude ´-Balmer, and Mar´ ıa Teresa Leonor Mucin ˜o-Porras ARTICLE INFO ABSTRACT Links between institutional sectors and economic activities with National Accounting System of Mexico are studied used accounting multipliers. Key sectors had changed to strategic or leading as oil and gas extraction and dairy product manufacturing, i.e., Mexico went from a producer of goods to a service provider country, losing value added in their production chains. The mixed income for deciles 1-5 for woman is leading and independent economic activity of real importance in the domestic economy through its impact on solidarity activities: Providing care and support and provide food. Copyright © 2015 Dora E. Ledesma-Carrión. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited. INTRODUCTION The proposed social accounting matrix (SAM) (Erik Thorbecke, 2000) is founded on economic structure of the system of national accounting of Mexico (SNAM) (System of National Accounting of Mexico, 2011). The square matrix size is 565 and showed in Table 1. The name variables and their code appear in tables 20-25. The SNAM comprises balance equations and accumulation and current accounts. National accounting: Goods and services (G&S), production (P), generation of income (GI), allocation of income (PAI), distribution of income (DI), use of income (UI), capital (C), gross fixed capital formation (GFCF), financial (F), goods and services with the outside (G&S outside). The latter account is divided: current transferences (TC) and capital transferences (TK). SNAM has Institutional units: Non-financial corporations (NF), Financial corporations (F), Government units, including social security funds (G), Non-Profit Institutions serving households (NPIsSH), Households (H) and the rest of the world (RW). Households are formed by customers and producers. The GI, PAI, DI, UI, C and GFCF accounts were disaggregated on institutional sectors. Household sector is broken down income-expenditure deciles. The input-output tableau (IOT) is included into SAM. *Corresponding author: Dora E. Ledesma-Carrio ´n Lidia Herna ´ndez-Herna ´ndez, Rodolfo J. Daude ´-Balmer, and Mar´ ıa Teresa Leonor Muciño-Porras The IOT is built by economic activities added into sectors, subsectors and branches. IOT use the North America industrial Classification System (NAICS) code of 2007. The tableau size is 165. The production account presents economic activities by branches. The goods and services account shows economics activities and institutional sectors. IOT 2011 was obtained using the RAS method to IOT 2008. Table 2 shows a ij entrances of the SAM and their description. Table 3 presents disaggregated IOT. Each of the a ij entrances are A ij matrix of different sizes described in the Table 2. The a 1,10 and a 10,1 entrances were disaggregated to economic activities branches and North American Free Trade Agreement (NAFTA) countries and the rest of the world. To do this was necessary to make the correspondence between the tariff code (http://www.economia.gob.mx/comunidad-negocios/comercio- exterior/informacion-estadistica-y-arancelaria) and NAICS code (http://www.census.gov/eos/www/naics/) because export and import of good and services are not present for countries in SNAM. The a 1,2 and a 2,1 entrances were open to economic activities branches. The first is IOT 2011 and the second is gross production value (basic prices). The a 10,3 , a 10,4 , a 10,5 , a 3,10 , a 4,10 and a 5,10 entrances: remunerations, rental of property and current transfers received/paid were broken down by NAFTA country redistribution like flows of Outward/Inward Direct Investment(http://w03.international.gc.ca/Commerce_Internati onal/Commerce_Country-Pays.aspx?lang=eng & http://w03. ISSN: 0976-3376 Asian Journal of Science and Technology Vol. 6, Issue 06, pp. 1487-1522, June, 2015 Available Online at http://www.journalajst.com ASIAN JOURNAL OF SCIENCE AND TECHNOLOGY Article History: Received 24 th March, 2015 Received in revised form 29 th April, 2015 Accepted 13 th May, 2015 Published online 29 th June, 2015 Key words: Social Accounting Matrix, National accounting, Linkages, Accounting multipliers, Input-OutputT ableau.