2015 International Product Release Notes

Angela Slovachek

January 18, 2023 16:01

INTRODUCTION

IMPLAN is proud to announce that we have released 2015 data for International Countries! The International Product includes the following 64 countries at the national level:

Argentina	Czech Republic (Czechia)	Kazakhstan	Romania
Australia	Denmark	Korea (South)	Russian Federation
Austria	Estonia	Latvia	Saudi Arabia
Belgium	Finland	Lithuania	Singapore
Brazil	France	Luxembourg	Slovak Republic
Brunei Darussalam	Germany	Malaysia	Slovenia
Bulgaria	Greece	Malta	South Africa
Cambodia	Hong Kong, China	Mexico	Spain
Canada	Hungary	Morocco	Sweden
Chile	Iceland	Netherlands	Switzerland
China (People's Republic of)	India	New Zealand	Thailand
Chinese Taipei (Taiwan)	Indonesia	Norway	Tunisia
Colombia	Ireland	Peru	Türkiye
Costa Rica	Israel	Philippines	United Kingdom
Croatia	Italy	Poland	United States
Cyprus	Japan	Portugal	Viet Nam

Each is available for purchase individually or as a part of a package.

DATA SOURCES

All Input-Output tables come from Organisation for Economic Co-operation and Development (OECD) and include distinct I-O (transactions) matrices for each country, as well as Output, Value-Added, and Final Demand for each Industry by each Institution. While each country has its own Structural Matrix (SM) data, the components of the Structural Matrix (SM) will be identical across Regions. Additionally, all monetary values in the data are represented in US Dollars (USD), not a country's national currency. The OECD provides a currency conversion file to convert to and from USD to a national currency in the data set.

The data source(s) and methods for employment estimates vary by country, with one of four ranked options employed for each county depending on which of the four options is available for each country. Some of the options involve projecting and/or splitting into more Industry detail, and some of the options involve more than one raw data set. The three raw data sets employed are the Labour Force Statistics (LFS) and Modelled Estimates and Projections (EST) versions of the International Labour Organization employment data and the World Input-Output Database employment data.

A variety of sources were used for demographic data (land area, population, household counts) and inter-institutional transfer payment rates (savings rates, tax rates, etc.), depending on data availability for each country from each data source.

INTERNATIONAL INDUSTRY SCHEME

The 37 International Industry Scheme includes 36 functional Industries, plus one added Industry - Taxes on Products Net of Subsidies (TOPS) that other Industries pay. This is necessary due to the data being in Basic Prices, which is slightly different from US-based models, which are in Producer Prices. You can find a list of all 37 International Industry and Commodity codes along with their descriptions in the downloadable file: IMPLAN International 37 Industries and Commodities.

UNIQUE CHARACTERISTICS

There are a few distinct differences between the data used in the US Annual Data sets and the International Product. The majority of these differences can be attributed to Industries in the International Product.

The main difference has to do with the accounting of Taxes on Products Net of Subsidies (TOPS), which in the Basic Prices framework are accounted for under the Industry that pays those taxes (Industry that purchased the Commodity) as opposed to the Industry that remits those taxes in the Producer Prices framework (Industry that sold the Commodity, which may the producing Industry, wholesaler, or retailer). As such, in the International Product these taxes are not a part of the paying Industry’s Value Added, but rather as part of its Intermediate Inputs (II), and therefore are represented as a purchase of Industry 37 TOPS, in the paying Industry’s production function. Therefore, Industry 37 is for accounting purposes only, not to be used to model impacts.

While there are still four categories of Value Added (VA) in the International Product, there is a slight variation from the US in how these are accounted for. First, International Industries have only total employment values (no break-out by type) and only one type of Labor Income (Employee Compensation). Second, in the OECD data Proprietor Income (PI) is combined with Other Property Income (OPI) to form Gross Operating Surplus (GOS). As there is no way to separate PI from GOS, it is not treated as part of Labor Income in the International Product and will not generate any induced effects. Third, the Other Taxes on Production net of Subsidies (OTXS) does not include any taxes on imports, as taxes on products are now accounted for under each Industry’s Intermediate Inputs spending. In the International Product, OTXS mainly consists of taxes on the ownership or use of land, buildings, or other assets (property taxes, business licenses).

Value Added Component	Definition	Difference to US
Employee Compensation (EC)	Total payroll cost of the employee including wages and salaries, all benefits (e.g., health, retirement), and payroll taxes	none
Gross Operating Surplus (GOS)	Includes consumption of fixed capital (CFC), proprietors' income, corporate profits, and business current transfer payments (net)	US reports Proprietor Income separately and is analyzed as part of Labor Income
Other Taxes on Production net of Subsidies (OTXS)	Consist of all taxes except taxes on products that enterprises incur as a result of engaging in production. Such taxes do not include any taxes on the profits or other income received by the enterprise and are payable regardless of the profitability of the production. They may be payable on the land or other fixed assets	Excludes taxes on imports - in OECD data those are included TOPS Industry under Intermediate Inputs

Unlike IMPLAN’s other products, the International Product does not include a unique Industry for retailers and wholesalers. In the 37 International Industry Scheme, retailers and wholesalers are combined with a few other Industries like car washes and automotive repair. This Industry is called Industry 23 Wholesale and retail trade; repair of motor vehicles. As retail and wholesale Industries are marginable Industries, unlike car washes which are not, special attention is required when modeling Events under this Industry. When creating an Impact for the non-marginable Industries that are classified under Industry 23 (like a car wash), we recommend that you set the Margin to ‘Producer Price’ in the Advanced Fields option. This will ensure that no Margins are erroneously applied to the Event value. Refer to the IMPLAN INTERNATIONAL 37 TO US 546 INDUSTRY SCHEME BRIDGE to identify the non-marginable Industries classified under Industry 23.

Lastly, there are fewer Institutions available in the International Product as compared to the US-based data. The I-O tables from OECD only contain two Household Institutions – 'Households' and ‘Non-Profit Institutions Primarily Serving Households’ (NPISH). The OECD data do not separate households into multiple household income groups, so all households are included in a single Household Institution. The treatment of NPISH as a household does also occur in US-based data, it is just that in the US data the two are not reported separately (i.e., the NPISH account is combined with the household accounts). Additionally, there is only one government institution in the OECD data – Government Consumption Expenditures. All other institutions in the Structural Matrix (SM) are the same as in the US-based data (Capital, Inventory, Domestic Trade, and Foreign Trade).

MULTI-REGIONAL INPUT-OUTPUT ANALYSIS (MRIO)

Currently, IMPLAN does not have any inter-country trade flows available for the International Product. There is a total foreign trade estimate used to determine the availability of any Commodity in each country, but we do not have data on the country-to-country flows. Due to this, the Multi-Regional Input-Output Analysis (MRIO) is not available for the International Product.