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The inoperability extended multisectoral model and the Role of Income Distribution: A U.K. Case Study

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  • Andrea Karim El Meligi
  • Maurizio Ciaschini
  • Yousaf Ali Khan
  • Rosita Pretaroli
  • Francesca Severini
  • Claudio Socci

Abstract

In this paper, an effort is made to enrich the current input–output (I–O) methodologies employed for studying disruptive events, by extending the I–O framework and including all the phases of the circular flow of income into the overall disaster impact. In this respect, the Inoperability Extended Multisectoral Model is created and implemented in order to estimate the higher‐order effects in terms of value added and disposable income. The social accounting matrix, referred to the United Kingdom, is constructed and proposed as a starting point for assessing the effects of a system perturbation related to the eruption of the Volcano Eyjafjallajökull, in mid‐April 2010, which affected air transport services due to the full closure of the U.K.'s airspace for several days. Finally, the ranking of those commodities and institutional sectors which are badly affected can provide guidance to policymakers in order to minimize the overall impact on the economy.

Suggested Citation

  • Andrea Karim El Meligi & Maurizio Ciaschini & Yousaf Ali Khan & Rosita Pretaroli & Francesca Severini & Claudio Socci, 2019. "The inoperability extended multisectoral model and the Role of Income Distribution: A U.K. Case Study," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 65(3), pages 617-631, September.
    • Handle: RePEc:bla:revinw:v:65:y:2019:i:3:p:617-631
    DOI: 10.1111/roiw.12368
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    Cited by:

    1. Ali, Yousaf & Bilal, Muhammad & Sabir, Muhammad, 2021. "Impacts of transport strike on Pakistan economy: An inoperability Input-Output model (IIOM) approach," Research in Transportation Economics, Elsevier, vol. 90(C).
    2. Tamat Sarmidi & Norlin Khalid & Muhamad Rias K. V. Zainuddin & Sufian Jusoh, 2021. "The COVID-19 Pandemic, Air Transport Perturbation, and Sector Impacts in ASEAN Plus Five: A Multiregional Input–Output Inoperability Analysis," Working Papers DP-2021-01, Economic Research Institute for ASEAN and East Asia (ERIA).
    3. Irfan Ahmed & Claudio Socci & Rosita Pretaroli & Francesca Severini & Stefano Deriu, 2022. "Socioeconomic spillovers of the 2016–2017 Italian earthquakes: a bi-regional inoperability model," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(1), pages 426-453, January.

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