IDEAS home Printed from https://ideas.repec.org/a/kap/ecopln/v38y2005i2p147-165.html
   My bibliography  Save this article

Impacts of Aggregation on Relative Performances of Nonsurvey Updating Techniques And Intertemporal Stability of Input–Output Coefficients

Author

Listed:
  • Ali Jalili

Abstract

In many instances, and for variety of reasons, input–output researchers are compelled to both employ mechanical techniques to update older survey-based tables as well as using more aggregated ones. This combination, however, gives rise to several concerns. The present paper is an attempt to investigate two such questions. First, the effects of aggregation on the accuracy ranking of selected updating methods, and second, the effects of aggregation on intertemporal stability of the input–output coefficients. To probe these issues, three updating methods were selected. These methods are NAÏVE or constant coefficient hypothesis, RAS or biproportional method, and LaGrangian optimization technique. Two survey-based tables from the former Soviet Union along with the selected updating techniques are used to generate updated target year’s direct and inverse transaction matrices at four aggregation levels. Comparison of the resultant estimates at these four levels of aggregation with their counterparts in the actual benchmark table reveals that a higher level of aggregation neither affects the rankings of the updating methods nor does it universally and unequivocally leads to a higher degree of intertemporal stability of input–output coefficients. Copyright Springer Science+Business Media, Inc. 2005

Suggested Citation

  • Ali Jalili, 2005. "Impacts of Aggregation on Relative Performances of Nonsurvey Updating Techniques And Intertemporal Stability of Input–Output Coefficients," Economic Change and Restructuring, Springer, vol. 38(2), pages 147-165, June.
  • Handle: RePEc:kap:ecopln:v:38:y:2005:i:2:p:147-165
    DOI: 10.1007/s10644-006-9000-2
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s10644-006-9000-2
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s10644-006-9000-2?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jean H.P. Paelinck, 2000. "On aggregation in spatial econometric modelling," Journal of Geographical Systems, Springer, vol. 2(2), pages 157-165, July.
    2. Lee, Kevin, 1997. "Modelling economic growth in the UK: An econometric case for disaggregated sectoral analysis," Economic Modelling, Elsevier, vol. 14(3), pages 369-394, July.
    3. Michael L. Lahr & Benjamin H. Stevens, 2002. "A Study of the Role of Regionalization in the Generation of Aggregation Error in Regional Input –Output Models," Journal of Regional Science, Wiley Blackwell, vol. 42(3), pages 477-507, August.
    4. Lee, Kevin C & Pesaran, M Hashem & Pierse, Richard G, 1990. "Testing for Aggregation Bias in Linear Models," Economic Journal, Royal Economic Society, vol. 100(400), pages 137-150, Supplemen.
    5. Doeksen, Gerald A. & Little, Charles H., 1968. "Effect of Size of the Input-Output Model on the Results of an Impact Analysis," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 20(4), pages 1-5, October.
    6. F J Harrigan & J W McGilvray & I H McNicoll, 1980. "Simulating the Structure of a Regional Economy," Environment and Planning A, , vol. 12(8), pages 927-936, August.
    7. Stover, Mark Edward, 1994. "A Comparison of Annual and Benchmark Input-Output Tables in Regional Economic Modeling," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 28(2), pages 223-228.
    8. Ralston, Scott N & Hastings, Steven E & Brucker, Sharon M, 1986. "Improving Regional I-O Models: Evidence against Uniform Regional Purchase Coefficients across Rows," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 20(1), pages 65-80, March.
    9. Bjarne Madsen & Chris Jensen-Butler, 1999. "Make and Use Approaches to Regional and Interregional Accounts and Models," Economic Systems Research, Taylor & Francis Journals, vol. 11(3), pages 277-300.
    10. Gibbons, Joel C. & Wolsky, Alan M. & Tolley, George, 1982. "Approximate aggregation and error in input-output models," Resources and Energy, Elsevier, vol. 4(3), pages 203-230, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Andrea Bonfiglio & Francesco Chelli, 2008. "Assessing the Behaviour of Non-Survey Methods for Constructing Regional Input-Output Tables through a Monte Carlo Simulation," Economic Systems Research, Taylor & Francis Journals, vol. 20(3), pages 243-258.
    2. Rodolphe Buda, 2008. "Two Dimensional Aggregation Procedure: An Alternative to the Matrix Algebraic Algorithm," Computational Economics, Springer;Society for Computational Economics, vol. 31(4), pages 397-408, May.
    3. repec:wsr:wpaper:y:2013:i:106 is not listed on IDEAS
    4. Cabras, Stefano & Fidrmuc, Jan & de Dios Tena Horrillo, Juan, 2017. "Minimum wage and employment: Escaping the parametric straitjacket," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 11, pages 1-20.
    5. Shumway, C. Richard & Davis, George C., 2001. "Does consistent aggregation really matter?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 45(2), pages 1-34.
    6. Giancarlo Lutero & Marco Marini, 2010. "Direct vs Indirect Forecasts of Foreign Trade Unit Value Indices," Rivista di statistica ufficiale, ISTAT - Italian National Institute of Statistics - (Rome, ITALY), vol. 12(2-3), pages 73-96, October.
    7. K. Vela Velupillai, 2011. "Three Contributions to: Alan Turing – His work and impact," ASSRU Discussion Papers 1114, ASSRU - Algorithmic Social Science Research Unit.
    8. Eivind Lekve Bjelle & Johannes Többen & Konstantin Stadler & Thomas Kastner & Michaela C. Theurl & Karl-Heinz Erb & Kjartan-Steen Olsen & Kirsten S. Wiebe & Richard Wood, 2020. "Adding country resolution to EXIOBASE: impacts on land use embodied in trade," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-25, December.
    9. Lourens Broersma & Ton Van Moergastel, 2007. "A Shortcut Method for Generating Time Series of Input Data for Productivity Analysis," Economic Systems Research, Taylor & Francis Journals, vol. 19(3), pages 277-293.
    10. Schneider, Andreas, 2019. "Deterrence Theory in Paraguay: Exploring Fraud and Violation of Trust Cases," MPRA Paper 102204, University Library of Munich, Germany.
    11. Guy R. West, 1990. "Regional Trade Estimation: A Hybrid Approach," International Regional Science Review, , vol. 13(1-2), pages 103-118, April.
    12. Xuemei Jiang & Erik Dietzenbacher & Bart Los, 2010. "Targeting the Collection of Superior Data for the Estimation of the Intermediate Deliveries in Regional Input–Output Tables," Environment and Planning A, , vol. 42(10), pages 2508-2526, October.
    13. Hairui Wei & Ming Dong & Shuyu Sun, 2010. "Inoperability input‐output modeling (IIM) of disruptions to supply chain networks," Systems Engineering, John Wiley & Sons, vol. 13(4), pages 324-339, December.
    14. Joost R. Santos, 2006. "Inoperability input‐output modeling of disruptions to interdependent economic systems," Systems Engineering, John Wiley & Sons, vol. 9(1), pages 20-34, March.
    15. Gunnar Lindberg, 2011. "On the appropriate use of (input-output) coefficients to generate non-survey regional input-output tables: Implications for the determination of output multipliers," ERSA conference papers ersa10p800, European Regional Science Association.
    16. Xueting Zhao, 2014. "Disaggregating Input-Output Models," Working Papers Technical Document 2014-0, Regional Research Institute, West Virginia University.
    17. Banerjee, Onil & Cicowiez, Martin & Gachot, Sébastien, 2015. "A quantitative framework for assessing public investment in tourism – An application to Haiti," Tourism Management, Elsevier, vol. 51(C), pages 157-173.
    18. Michal Bernard Pietrzak, 2014. "Redefining The Modifiable Areal Unit Problem Within Spatial Econometrics, The Case Of The Aggregation Problem," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 9(3), pages 131-151, September.
    19. Martinho, Vítor João Pereira Domingues, 2011. "A spatial model of the Keynesian theory for Portugal," MPRA Paper 33636, University Library of Munich, Germany.
    20. Zizhuo Wang & Chaolin Yang & Hongsong Yuan & Yaowu Zhang, 2021. "Aggregation Bias in Estimating Log‐Log Demand Function," Production and Operations Management, Production and Operations Management Society, vol. 30(11), pages 3906-3922, November.
    21. Christa Court & Randall W. Jackson, 2010. "Time Dynamics and the Introduction of New Technologies within IO Analysis," Working Papers Working Paper 2010-03, Regional Research Institute, West Virginia University.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:ecopln:v:38:y:2005:i:2:p:147-165. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.