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Incorporating time-series into an interindustry analysis to model the regional economic structure: a case study of the Illawarra

Conference Paper


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Abstract


  • Since the pioneering work of Glickman on embedding an input-output

    (IO) module into an econometric framework,1 there has been a plethora of studies on

    combining an IO analysis with an econometric model in the literature. The popularity

    of the combined framework is due to its superior performance in economic

    forecasting and higher accuracy in impact analysis. There are a number of

    approaches through which an IO model is combined with an econometric model.

    This paper examines three approaches to combine IO analysis with econometric

    modelling, namely embedded, coupled, and linked. All three approaches are applied

    to the Illawarra economy in a series of ex-post forecasting experiments. Each

    approach is applied to a hypothetical scenario of sectoral reallocation of government

    expenditure, to investigate certain key sectors that provide more jobs per dollar of

    expenditure relative to the other sectors. The comparative forecasting performance

    and impact analysis accuracy of each approach is examined.

Publication Date


  • 2013

Citation


  • Harvie, C. & Masouman, A. (2013). Incorporating time-series into an interindustry analysis to model the regional economic structure: a case study of the Illawarra. International Symposium for Next Generation Infrastructure (pp. 1-8). Australia: University of Wollongong.

Ro Full-text Url


  • http://ro.uow.edu.au/cgi/viewcontent.cgi?article=1032&context=isngi2013

Ro Metadata Url


  • http://ro.uow.edu.au/isngi2013/proceedings/1/31/

Start Page


  • 1

End Page


  • 8

Place Of Publication


  • http://ro.uow.edu.au/cgi/viewcontent.cgi?article=1032&context=isngi2013

Abstract


  • Since the pioneering work of Glickman on embedding an input-output

    (IO) module into an econometric framework,1 there has been a plethora of studies on

    combining an IO analysis with an econometric model in the literature. The popularity

    of the combined framework is due to its superior performance in economic

    forecasting and higher accuracy in impact analysis. There are a number of

    approaches through which an IO model is combined with an econometric model.

    This paper examines three approaches to combine IO analysis with econometric

    modelling, namely embedded, coupled, and linked. All three approaches are applied

    to the Illawarra economy in a series of ex-post forecasting experiments. Each

    approach is applied to a hypothetical scenario of sectoral reallocation of government

    expenditure, to investigate certain key sectors that provide more jobs per dollar of

    expenditure relative to the other sectors. The comparative forecasting performance

    and impact analysis accuracy of each approach is examined.

Publication Date


  • 2013

Citation


  • Harvie, C. & Masouman, A. (2013). Incorporating time-series into an interindustry analysis to model the regional economic structure: a case study of the Illawarra. International Symposium for Next Generation Infrastructure (pp. 1-8). Australia: University of Wollongong.

Ro Full-text Url


  • http://ro.uow.edu.au/cgi/viewcontent.cgi?article=1032&context=isngi2013

Ro Metadata Url


  • http://ro.uow.edu.au/isngi2013/proceedings/1/31/

Start Page


  • 1

End Page


  • 8

Place Of Publication


  • http://ro.uow.edu.au/cgi/viewcontent.cgi?article=1032&context=isngi2013