ABSTRACT
Since the development of the input-output (I/O) model by W. Leontief, the model has had substantial theoretical and empirical appeal as a tool for national and regional economic analysis. Given the necessary data, the model can be used for both forecasting and economic impact analysis. Nonsurvey Input/Output models that utilize secondary data rather than the much costlier primary data obtained from direct surveys have the distinct advantage of being less costly than survey approaches. However, both survey and nonsurvey methods require a fairly high level of understanding of the mathematics of the model as well as the economic interpretations of the model. There are three major nonsurvey I/O analysis procedures: The Locations Quotients, Supply-Demand Pool, and Regional Purchase Coefficients. The Simple Location Quotients procedure computes a quantity si that is designated as the production of xi assuming that the regional economy has the same industry mix as the national economy.
