Integrated regional econometric+input-output modeling: Issues and opportunities

Abstract

Recent research on integrated econometric+input-output modeling for regional economies is reviewed. The motivations for and the alternative methodological approaches to this type of analysis are examined. Particular attention is given to the issues arising from multiregional linkages and spatial effects in the implementation of these frameworks at the sub-national scale. The linkages between integrated modeling and spatial econometrics are outlined. Directions for future research on integrated econometric and input-output modeling are identified.JEL classification: C51, C67, R15

The Extended Econometric Input–output Model With Heterogeneous Household Demand System

“…The integration offers improved forecasting accuracy and inter-industry analysis with dynamics. Characteristics of the REIM are described in greater detail in West (1995) and Rey (2000).…”

Linkages of the Agricultural Sector: Models and Precautions

“…To include these additional factors conjoined econometric/IO, models have been developed. Rey (2000) and Shields (2006) showed the conjoined econometric/IO model provides several advantages over IO or SAM models and sophisticated econometric models. As noted in Shaffer et al (2004) the use of the simple Keynesian system of economic accounts has provided the theoretical foundation for a wealth of statistically (econometric) derived models of national and state economies.…”

An approach for integrating economic impact analysis into the evaluation of potential marine protected area sites

“…The linkages among industries in an economy are generally non-linear (West, 1995). In addition, the static nature of the I-O model prevents it from capturing changes over time, such as those due to changes in technology (Rey, 2000). Finally, the model assumes that supplies to the production process, such as labor, are unlimited (West, 1995).…”