Hello,
We are attempting to model the impacts of a decrease in the total gasoline purchased for New York State. Should this be modeled as an industry event ‘154 - Petroleum refineries’ or a commodity ‘3020 - Natural gas and crude petroleum’. For whatever category is appropriate, will we need to adjust the margins and LPP? If yes, how do we go about doing that?
Thank you!
Hi Jessica!
If the gasoline was purchased from a local retailer, you have two options.
1 If it was not produced in your region, use an Industry Output in the retail gasoline Industry
2 If it was produced in your region, use a Commodity Output on refined petroleum products
This article will help you make that determination in the future: Industry vs. Commodity Output.
Hi All,
I was just reading this thread and had a few follow-up questions. Candi, it seems like you are suggesting that Jessica model that change as 408 - retail - gasoline stores. I was reviewing the spending pattern for that industry and there seems to be commodity demand for things completely unrelated to gasoline. For example, "fluid milk" is included in the spending pattern.
It seems like the underlying assumption is that customers who fuel up, also purchase items in the store? Is there a way to isolate only the impact on the gasoline supply chain?
Thanks!
Hey Luke -
When an Industry Output Event in 408 - Retail - Gasoline stores is modeled, IMPLAN does not know what item is being purchased from that store. It could be gasoline, but it could also be a candy bar or milk. Most gas stations sell a variety of products.
If you want to analyze the purchase of gasoline, you can use a Commodity Output Event in 3154 - Refined petroleum products with Total Revenue selected. The article Industry vs. Commodity Output can help you to determine what scenario is best given the data you have and what you are looking to examine.
Candi
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