TESTING ASSUMPTIONS MADE IN THE CONSTRUCTION OF INPUT--OUTPUT TABLES

José Rueda-Cantuche and Thijs ten Raa

Economic Systems Research, 2013, vol. 25, issue 2, 170-189

Abstract: Product input--output (IO) tables are mainly constructed on the basis of product and/or industry technology assumptions. The choice is not trivial and deserves empirical analysis using input and output data at the level of establishments. This paper offers input--output compilers econometric tests to facilitate the construction of tailored hybrid technology-based product IO tables. We provide weighted likelihood ratios of the product and industry technology assumptions. Although the proposed econometric tests are aimed to be used ex ante , we construct four variants of hybrid technology-based product IO tables using establishment data from Andalusia (Spain) and contrast them to the official product IO table and the pure product and industry technology-based tables. Our econometric tests are not valid for industry IO tables.

Date: 2013
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Citations: View citations in EconPapers (4)

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Chapter: Testing Assumptions Made in the Construction of Input-Output Tables (2021)
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DOI: 10.1080/09535314.2013.774265

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