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Input—Output Coefficients and Multipliers from a Total-Flow Perspective

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  • J M Szyrmer

    (Regional Science Department, 130 McNeil Building, University of Pennsylvania, Philadelphia, PA 19104-6209, USA)

Abstract

In this paper a framework for computing input—output coefficients and multipliers is considered which draws upon the so-called total-flow approach. The total-flow indicators express the total effect of a change in gross output rather than in final-demand deliveries. It is shown that these indicators significantly differ from their final-demand counterparts in their absolute values and in their ranking of input—output sectors. It is demonstrated that the final-demand-based coefficients and multipliers fail to express an overall effect of an industrial activity (economic sector) and caution must be used in their empirical applications and interpretations.

Suggested Citation

  • J M Szyrmer, 1992. "Input—Output Coefficients and Multipliers from a Total-Flow Perspective," Environment and Planning A, , vol. 24(7), pages 921-937, July.
    • Handle: RePEc:sae:envira:v:24:y:1992:i:7:p:921-937
    DOI: 10.1068/a240921
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    References listed on IDEAS

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    1. Meller, Patricio & Marfan, Manuel, 1981. "Small and Large Industry: Employment Generation, Linkages, and Key Sectors," Economic Development and Cultural Change, University of Chicago Press, vol. 29(2), pages 263-274, January.
    2. Jeong, Ki-Jun, 1982. "Direct and indirect requirements: A correct economic interpretation of the Hawkins-Simon conditions," Journal of Macroeconomics, Elsevier, vol. 4(3), pages 349-356.
    3. Jeong, Ki-Jun, 1984. "The relation between two different notions of direct and indirect input requirements," Journal of Macroeconomics, Elsevier, vol. 6(4), pages 473-476.
    4. Sastry, M. L. & Szyrmer, J. & Weeks, M., 1989. "Economic-demographic linkages in an extended U.S. input--output model: the impact of income and age," Socio-Economic Planning Sciences, Elsevier, vol. 23(5), pages 303-320.
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