Skip to main content
SpringerLink
Log in

The effect of aggregation on the output multipliers in input-output models

  • Published:
The Annals of Regional Science Aims and scope Submit manuscript

Abstract

This paper compares the output multipliers of the 1967 National input output model (367 industries) with the multipliers of the aggregated version (81 industries). The results show that, generally, the set of industries in the “full” model that were aggregated together for the “reduced” model, display a wide range of output multiplier values. Therefore, the output multiplier of an aggregated industry may not be truly representative of any of the industries that were joined together. Finally we show how information for a particular firm or disaggregated industry can be incorporated in an aggregated input-output model to obtain a close estimate of the actual output multiplier for that firm or industry.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  1. Bureau of Economic Analysis, U.S. Department of Commerce,Input-Output Structure of the U.S. Economy: 1967, Washington, D.C.: U.S. Government Printing Office, 1974.

    Google Scholar 

  2. Bureau of Economic analysis, U.S. Department of Commerce, “The Input-Output Structure of the U.S. Economy: 1967,”Survey of Current Business, Vol. 54, No. 2, february 1974.

  3. Burford, Roger L. and Joseph L. Katz, “Regional Input-Output Multipliers Without a Full I-O Table,”Annals of Regional Science, November, 1977.

  4. Burford, Roger L. and Joseph L. Katz, “A Method for Estimation of Input-Output Type Output Multipliers When No I-O Model Exists,”Journal of Regional Science, May, 1981.

  5. Greytak, D., “The Firm in Regional Input-Output Analysis,”Regional Studies, Vol. 6, No. 3, September 1972 pp. 327–329.

    Google Scholar 

  6. Hewings, Geoffrey J. D. “Input-Output Models: Aggregation for Regional Impact Analysis,”Growth and Change, Vol. 3, No. 1, Jan. 1972, pp. 15–19.

    Google Scholar 

  7. Karaska, G. J., “Variation of Input-Output Coefficients for Different Levels of Aggregation,”Journal of Regional Science, Vol. 8, 1968, 217–227.

    Google Scholar 

  8. Katz, Joseph L. and Burford, Roger L., “A Comparison of Two estimators of Output Multipliers From Incomplete Input-Output Data,”The Annals of Regional Science, July 1981.

  9. Morrison, W. I., “Input-Output and the Firm: Some Comments,”Regional Studies, Vol. 7, No. 3, September 1973, pp. 253–256.

    Google Scholar 

  10. Schaffer, William A., “Testing Regional Impact Analyses in Nova Scotia,”The Canadian Journal of Regional Science, Spring 1979, Vol. II, No. 1, pp. 1–10.

    Google Scholar 

  11. Tiebout, C. M., “Input-Output and the Firm: A Technique for Using National and Regional Tables,”Review of Economics and Statistics, May 1967, Vol. 49, pp. 260–262.

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of Management, University of Arizona, USA

    Joseph L. Katz

  2. Department of Quantitative Methods, Louisiana State University, USA

    Roger L. Burford

Authors
  1. Joseph L. Katz
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Roger L. Burford
    View author publications

    You can also search for this author in PubMed Google Scholar

Rights and permissions

Reprints and permissions

About this article

Cite this article

Katz, J.L., Burford, R.L. The effect of aggregation on the output multipliers in input-output models. Ann Reg Sci 15, 46–54 (1981). https://doi.org/10.1007/BF01286331

Download citation

  • Received:

  • Revised:

  • Issue Date:

  • DOI: https://doi.org/10.1007/BF01286331

Keywords

Search

Navigation