National vs. State Multiplier change over time
Hello,
I am working with 2011 multipliers for 394 Offices of physicians, dentists, and other health practitioners.
I am comparing these 2011 multipliers to 2010 multipliers. We have noted a mean and median change in the state output multipliers of +1.3 percent and +2.2 percent. However, the change in the national output multiplier is -6.2 percent (2.79 to 2.62). We are trying to understand the reason for this change. Do you have any thoughts?
Thank you!
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IMPLAN SupportHi Victoria. Could you please tell us what region or state you are working with as well as the directly impacted sectors if different from sector 394? We would like to replicate your numbers if possible. Are you pulling from the software, or calculating the output multipliers? If you are calculating them, could you share with us your methodology? Thanks!0 -
Hello, I am working with all states and the US. I am pulling output multipliers from the software. Thank you!0
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IMPLAN SupportHi Victoria. Looking at the IMPLAN Output multipliers for the US in 2010 and 2011: A majority of the service sector multipliers experienced a decline in their values between 2010 and 2011. In fact, 260 of the 440 sectors in the US economy saw a decline in their output multiplier during this period. The average change in the multipliers of the gaining sectors was 2.71 percent, while the declining multipliers was 2.69 percent. The biggest outliers in the output multipliers were for Home health care services (-9.4%), Medical and diagnostic labs and outpatient and other ambulatory care services sectors (-17.9%) 395 and 396, respectively. The % change in the output multiplier for sector 394 (Offices of physicians, dentists, and other health practitioners) was third, declining 6.9 percent in the US between 2010 and 2011. Since the Type SAM multiplier = (Direct + Indirect + Induced)/Direct; a large change in the denominator will cause a wide swing in the Type SAM multiplier. All state values in the model are forced to sum to US control totals, so a change at the National level will be reflected in all states. This issue holds for the other service sectors as well. Thus, the overall change in the average output multiplier for the US declined by more than one percent during this period. We hope that this addresses your question.0 -
Yes thank you for the response! I was wondering, if this was the general direction of the economy, which it looks like it is.0
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