Accessing Industry Default LPPs

Hello Luke,

This value is referred to as a Regional Purchasing Coefficient (RPC). The SAM checkbox under the Commodity LPP option sets the LPP to the RPC value. RPCs are Commodity and Region specific. The RPC is used as the LPP on each of the Commodity purchases triggered/supported by some Event. In the Industry Event itself, the $200M of automobile manufacturing is assume to be produced locally (Direct LPP =100%). IMPLAN uses RPCs to estimate the Indirect and Induced Effects.

If you'd like to see RPC for each Commodity purchased by the Automobile Manufacturing Industry in your Region, navigate to the Region Details (the underlying regional data), then choose:

Social Accounts>  Balance Sheets > Industry Balance Sheet > Commodity Demand, filter by the Industry Automobile Manufacturing and find the RPC column. 

Thank you,
Maria

Thanks Maria!

This is very helpful. So for commodity 3340 (Automobiles) in California, the RPC is 47.66%.  Can we interpret that number as the following:  Of the total automobiles purchased in California, 47.66% are supplied by California automobile manufacturers?

-Luke

Hi Luke,

Just about. In California, in the given Data Year, 47.66% of demand for Automobiles was met by Automobiles produced by Industries and Institutions in California. This is the technique interpretation of this RPC of 47.66% (the Regional Supply Coefficient (RSC) will show you how much of California Automobiles go to meeting local demand vs. exports). 

While most of the 47.66% of Automobile purchases are likely from the Automobile Manufacturing Industry, a given Commodity can be produced by multiple producers. To see the Industry-Institution split of Automobile production in California, navigate to:

Social Accounts > Balance Sheets > Commodity Balance Sheet > Industry-Institutional Production, and filter by Automobiles

Thank you,
Maria 

Thanks Maria! This explanation was super helpful.