ABSTRACT

I-O analysis is the name given to a systematic framework for analyzing the interdependence of industries in an economy (Miller and Blair 1985). I-O models are a branch of economic statistics. This analysis dates from the development by Wassily Leontief (1936) of a general production theory based on the economic interdependence of producing industries within an economy. I-O analysis is widely used for measuring impacts of forest-related activities on output, employment, income taxes, exports, and imports in different sectors. This framework is useful for explaining how important a segment of forest industry is to a region’s economy or for gauging the effects of changes in forest management (Klemperer 1996).