A typology of propagation of changes on the structure of a multiregional economic system: the case of the European Union, 1975-1985

Eduardo Haddad, Michael Sonis and Geoffrey Hewings
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Michael Sonis: Regional Economics Applications Laboratory, University of Illinois at Urbana-Champaign, Urbana, IL 61801, USA

The Annals of Regional Science, 1996, vol. 30, issue 4, 408 pages

Abstract: The effects of structural change in all sectors of some regions in multiregional input-output systems are explored in this paper. For each region, the changes in direct inputs are decomposed into a matrix of intraregional changes and a matrix of interregional backward linkage changes. This distinction provides for a decomposition of changes in the Leontief inverse into a sum of matrices representing the matrices of intraregional and interregional fields of influence of changes. In turn, this process facilitates the identification of changes in gross outputs that may be traced to changes in intra- and interregional structural changes. The analysis is applied to the European input-output tables for 1975 and 1985.

Date: 1996
Note: Received: 12 June 1996 / Accepted: 3 September 1996
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