how are multipliers derived?

I'm running models for the electricity and natural gas distribution industries for a group of counties and also at the state level. All else equal, the electricity distribution industry seems to have much larger effects than does the gas industry, so I've been looking at the multipliers (which display this pattern) and trying to figure out what's driving these differences. And while state-level employment effects are larger than those for the smaller region, the other types of effects are generally smaller and this coincides with the multipliers I pulled from IMPLAN. Can you point me to where I might find information on how direct, indirect, and induced multipliers are derived? What sorts of inputs (output? labor intensity? others?) go into the calculations? I'd be particularly interested in any insight into what drives differences across industries and across regions. Thank you!

jenny

December 23, 2011 05:24

The IxI SAM is the basis of the multipliers. It can be found via Industry Accounts > IxI Input Output Accounts > Export > Full Detail IO Accounts. You will have to create a PivotTable in Excel to properly view the matrix. Derivation of the Type SAM multiplier is discussed in these two documents: https://implan.com/v4/index.php?option=com_docman&task=doc_download&gid=137&Itemid=7 https://implan.com/v4/index.php?option=com_docman&task=doc_download&gid=127&Itemid=7 Please let us know if you have additional questions.

aisling.nagel

January 04, 2012 02:49

Thank you, Jenny. Can you elaborate a bit about the relationship between county multipliers and state multipliers? Can the state multipliers be characterized as weighted averages of the multipliers from the constituent counties? What would the weights be?

January 04, 2012 04:03

That would be a fair way to characterize it. The weights would be based on Output.

how are multipliers derived?

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