Impact of large capex investment on air travel
Hi - I need to understand whether IMPLAN is able to analyze the impact of investments on air travel. For example, if I were modeling the economic impact of a new hotel, university or some other type of facility that would attract a large influx of people to a particular city on a daily basis, is there a way to isolate and analyze that facility's impact on air travel? We'd want to understand the effects of increased flights on the airport (airport revenues, airport staff, etc.). In addition, we'd want to look at the impact on taxis/shuttle traffic to/from the airport to the new facility, and the economic effects (direct/induced). Can this study be conducted using IMPLAN?
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Hi Tara, If we understand your questions correctly, it sounds like you are thinking about using IMPLAN to estimate the number of tourists a new hotel might draw to the region. Please let us know if we are misunderstanding the problem. While these types of forecasting studies can be done with IMPLAN, they aren't really what IMPLAN is designed to do. In order to use IMPLAN for a study like this you would need to have some data from outside of IMPLAN where you could predict the number of new people that would come into the region solely based on that new hotel. If you had some way of estimating the number of people that would come into the region on the basis of the hotel and the cost of their tickets, you could certainly model that value in IMPLAN in the air transport Sector, as long as the airport was local to the region of study. We typically recommend modeling this with an LPP of 50% unless you know the portion of the ticket fee that stays locally, since some of the ticket cost goes to fees at the origin and other fees to the destination. Likewise you would need a sense of what the increased spending on ground transportation would be in order to model the effects with IMPLAN. Please let us know if you have any additional questions. IMPLAN Support Team
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