Abstract
This paper introduces a visual framework in the environment of a computer algebra system for displaying interregional trading patterns in multi-region, multi-activity economies. Interregional input–output tables illustrate spatial and economic interdependencies within interregional trade and are considered a key component in input–output modeling. The study and analysis of the interregional trade flows in interregional economic activities often reveal interregional and inter-activity linkages, referred to as “feedback loops” and/or spatial production cycles in interregional level. Trade theory considering feedback loops is a relatively new approach to the detailed analysis of vertical specialization of trade flows. This approach leads to the decomposition of global trade into feedback loops. Given the analysis of interregional inter-activity feedback loops based on the trade flows data, interregional input–output tables and associated trading patterns can be depicted using programmed functions in MATHEMATICA. Our programmed functions create static and dynamic images presenting the structure and the intensity of feedback loops connecting the regions and the activities of an economy. The generated visual schemes succeed to picture the multilateral trade connections between all regions. The programming codes along with their application in examples from the relevant literature are our methodological contribution in the visualization of trading tables.
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Notes
Mathematica software is tradable from Wolfram Research, Inc.
We make the assumption that all trading partners interact with each other.
In MATHEMATICA’s internal representation, each block is defined as a matrix of indices with values varying from 0 to 1. Indices within the range [0.1–0.4] denote a weak interaction between trade partners; as the index approaches 1, the corresponding trading interaction is considered dominant.
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Halkos, G.E., Tsilika, K.D. Trading Structures for Regional Economies in CAS Software. Comput Econ 48, 523–533 (2016). https://doi.org/10.1007/s10614-015-9515-6
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DOI: https://doi.org/10.1007/s10614-015-9515-6