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Conjoining an Input-Output Model and a Policy Analysis Model: A Case Study of the Regional Economic Effects of Expanding a Port Facility

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  • B H Stevens

    (Regional Science Research Institute, 256 North Pleasant Street, Amherst, Massachusetts 01002, USA)

  • G I Treyz
  • J K Kindahl

Abstract

A 484-sector Massachusetts static input-output (MIO) model is conjoined with the Massachusetts Economic Policy Analysis (MEPA) model which includes supply relationships, industrial location responses to changing costs, and a production function allowing substitution among inputs. This makes it possible to draw upon the distinctive features of both models. The technique is demonstrated by a study that analyzes the effect on the Massachusetts economy of the expansion of a container port facility at Boston. The approach presented here has general applicability to policy analysis and planning studies that require both the detailed regional interindustry interactions captured by a disaggregated input-output model and the cost, price, supply, location, and demand interdependencies which are endogenous in the best regional forecasting and policy simulation models.

Suggested Citation

  • B H Stevens & G I Treyz & J K Kindahl, 1981. "Conjoining an Input-Output Model and a Policy Analysis Model: A Case Study of the Regional Economic Effects of Expanding a Port Facility," Environment and Planning A, , vol. 13(8), pages 1029-1038, August.
    • Handle: RePEc:sae:envira:v:13:y:1981:i:8:p:1029-1038
    DOI: 10.1068/a131029
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    References listed on IDEAS

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    1. Glickman, Norman J., 1977. "Econometric Analysis of Regional Systems," Elsevier Monographs, Elsevier, edition 1, number 9780122865503 edited by Mills, Edwin S..
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    2. Su-Han Woo & Stephen Pettit & Anthony Beresford & Dong-Wook Kwak, 2012. "Seaport Research: A Decadal Analysis of Trends and Themes Since the 1980s," Transport Reviews, Taylor & Francis Journals, vol. 32(3), pages 351-377, January.

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