Hostname: page-component-788cddb947-xdx58 Total loading time: 0 Render date: 2024-10-15T08:05:47.752Z Has data issue: false hasContentIssue false
  • English
  • Français

New Measures from Input-Output Studies: A Comparison of Traditional Multipliers and Growth-Equalized Multipliers

Published online by Cambridge University Press:  10 May 2017

Sharon M. Brucker
Sharon M. Brucker*
Affiliation:
Department of Agricultural and Food Economics, University of Delaware
Get access

Abstract

The use of traditional multipliers in analyzing the impact of alternative development policies should only be undertaken with a full understanding of the theoretical constraints inherent in such an approach. Theoretical input-output models assume perfectly elastic supply of all inputs and demand for all outputs. Thus, traditional multipliers abstract from the relative size of changes in final demand, or production, since any change is theoretically possible. In actuality, supply and demand elasticities are not infinite. It may not be possible to increase sales to final demand by 300 percent; nor (due to land, labor or capital input scarcities) is it likely that a sector's production can increase by 100 percent. Therefore, in practice, some measure of the feasibility of a proposed change needs to be considered.

Type
Contributed Papers
Information
Journal of the Northeastern Agricultural Economics Council , Volume 9 , Issue 2 , October 1980 , pp. 69 - 74
Copyright
Copyright © Northeastern Agricultural and Resource Economics Association 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Ayer, Harry W. and Baskett, James, “Elasticities: Supplementary Statistics from Interindustry Studies,” Western Journal of Agricultural Economics, July 1978, pp. 75–78.Google Scholar
Bills, Nelson L. and Barr, Alfred L., An Input-Output Analysis of the Upper South Branch Valley of West Virginia, Bulletin 568T, West Virginia Agricultural Experiment Station, June 1968.Google Scholar
Brucker, Sharon M. and Cole, Gerald L., An Input-Output Study of Sussex County, Delaware, Agricultural Experiment Station Bulletin 428, University of Delaware, July 1979.Google Scholar
Doeksen, Gerald A. and Schreiner, Dean F., Interindustry Models for Rural Development Research, Technical Bulletin T139, Agricultural Experiment Station, Oklahoma State University, September 1974.Google Scholar
Farler, Carl and Tyner, Fred H., An Interindustry Analysis of the Florida Economy, Bulletin 758, Gainesville, Florida: Agricultural Experiment Station, Institute of Food and Agricultural Science, University of Rorida, October 1973.Google Scholar
Gray, S. Lee, McKean, John R., Sparling, Edward W. and Weber, Joseph C., “Measurement of Growth-Equalized Employment Multiplier Effects: An Empirical Example.” Annals of Regional Science, November 1979, pp. 68–75.Google Scholar
Grubb, Herbert W. A Structural Analysis of the Texas Economy Using Input-Output Models, Vol. I, Austin, Texas: Office of the Governor, State of Texas, December 1972.Google Scholar
Hiser, Michael L. and Fisher, Denis U., An Interindustry Analysis of Clinton County New York, Ithaca, NY: Cornell University, Agricultural Experiment Station, July 1977.Google Scholar
Miernyk, William H. The Elements of Input-Output Analysis, New York: Random House, 1965.Google Scholar