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Linking grouped models in multi-regional model

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Emily Rollins

I am doing a multi-regional analysis of each Hawaiian county on a base model I named "west coast" with Washington, Oregon, and California.  What is the difference between combining these states initially, and linking them to a model as one region, versus linking each individual state (Washington, Oregon, and California)?  I compared the results in both instances (for the model with individual states, I summed up the total effects for each state) and they were slightly different, although not too far off.  Do these differences represent the economic activity between the states not captured in the grouped model?  

 

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    maria_lucas

    Hi Emily,

    First, I'd like to be sure I understand what you'd like this analysis to communicate. Is the impact(s) you're modeling taking place in Washington, Oregon and California? With the analysis are you hoping to find the ripple impact on the Hawaiian counties? The Activities and Events should be modeled using the region in which the impact was initiated.  

    In general, there are two differences between using an aggregated model vs. not using an aggregate model in the MRIO method: 

    1: The aggregate region will use weighted averages of the industry/institution activity from all of the included regions. Individual regions will be more specific to that region. 

    2. When you model the ripple impacts on the Hawaiian counties from Washington + from Oregon + from California (as individual States) you will capture the "leakages" from each State to the Hawaiian county.  If you were to model the ripple impacts on the Hawaiian counties from the Washington, Oregon, California Region, you would not only get the leakages from the States (this time as 3-State region average) to the Hawaiian counties, but you would also capture what would have been a leakage of impact between the States (from trade and potentially commuting between the States). 

    Thank you,

    IMPLAN Staff

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