BiHMOD is a static microsimulation model for an ex-ante assessment of changes in the tax-benefit system for Bosnia and Herzegovina. The database that BiHMOD currently relies on is the HBS-Household Budget Survey from 2015.
The modelling initiative began in 2016 at the Center for Development Evaluation and Social Science Research, in response to the growing need for ex-ante analysis of public policies in Bosnia and Herzegovina. Initial financial assistance for development was obtained through the EU InGRID project, through visiting grant at the Essex University and participation in their EUROMOD training, and then from CERGE Foundation through visiting grant at the CERGE-EI Institute in Prague for the practical work on the EUROMOD version of the model for the Czech Republic. Further development of the model was continued with our own funds.
BiHMOD can enhance the capacity of policymakers through assessing the budgetary effects of alternative solutions for tax and benefit policies, as well as the effects of proposed changes on income distribution, inequality and poverty.