Glossary

Input-Output

A type of applied economic analysis that tracks the interdependence among various producing and consuming industries in an economy; it measures the relationship between a given set of demands for final goods and services, and the inputs required to satisfy those demands

Industries

The different IMPLAN Industry codes based on definitions put forth by the Bureau of Economic Analysis; there is a crosswalk available between NAICS codes and IMPLAN Industries

Direct

Initial effects to a local industry or industries due to the activity or policy being analyzed

Indirect

Effects stemming from business to business purchases in the supply chain taking place in the region

Induced

Effects in the region stemming from household spending of income, after removal of taxes, savings, and commuters

Output

The value of industry production; 

• in IMPLAN these are annual production estimates for the year of the dataset in producer prices
• for Manufacturers, output = sales plus/minus change in inventory
• for service sectors, output = production = sales
• for retail and wholesale trade output = gross margin (not gross sales)

Employment

An industry-specific mix of full-time, part-time, and seasonal employment.  An annual average that accounts for seasonality and follows the same definition used by the BLS and BEA.  IMPLAN Employment is not equal to full-time equivalents. 

Labor Income

All forms of employment income, including Employee Compensation (wages and benefits) and Proprietor Income

Employee Compensation

Total payroll cost of the employee including wages and salaries, all benefits (e.g., health, retirement) and payroll taxes 

Proprietor Income

The current-production income of sole proprietorships, partnerships, and tax-exempt cooperatives. Excludes dividends, monetary interest received by nonfinancial business, and rental income received by persons not primarily engaged in the real estate business (BEA).

Value Added

The difference between an industry's or establishment's total output and the cost of its intermediate inputs; it is a measure of the contribution to GDP 

Intermediate Inputs

Purchases of non-durable goods and services such as energy, materials, and purchased services that are used to produce other goods and services rather than for final consumption

Taxes on Production & Imports less Subsidies (TOPI)

Includes sales and excise taxes, customs duties, property taxes, motor vehicle licenses, severance taxes, other taxes, and special assessments

Other Property Income (OPI)

Gross Operating Surplus minus Proprietor Income; it includes consumption of fixed capital (CFC), corporate profits, and business current transfer payments (net)

Multipliers

Multipliers are a measure of an Industry's connection to the wider local economy by way of input purchases, payments of wages and taxes, and other transactions. It is a measure of total Effects per Direct Effect within a Region.

Industry Contribution Analysis (ICA)

Industry Contribution Analysis is a method used to estimate the value of a Industry or group of Industries in a Region, at their current levels of production.

Multi-Regional Input-Output Analysis (MRIO)

Multi-Regional Input-Output Analysis (MRIO)

MRIO analyses utilize interregional commodity trade and commuting flows to quantify the demand changes across Regions stemming from a change in production and/or income in another Region. It measures the economic interdependence of regions.

Leakages

Economic activity associated with the modeled Event(s) that does not generate additional effects in the Region you’ve defined