McGregor, P.G. and Swales, J.K. and Yin, Y.P. (1996) A long-run interpretation of regional input-output analysis. Journal of Regional Science, 36 (3). pp. 479-500. ISSN 0022-4146Full text not available in this repository. (Request a copy from the Strathclyde author)
Regional input-output (I-O) analysis is traditionally motivated by a short-run, extreme Keynesian vision of markets. In this paper we argue that an appropriately formulated, investment-endogenous, I-O system replicates the long-run equilibria of a wide range of regional models, many of which do not operate as I-O systems in the short run. In particular, we use a computable general equilibrium (CGE) framework to illustrate the impact of an aggregate demand disturbance on an I-O and standard neoclassical model. When run forward over a number of periods, the results from the capacity-constrained neoclassical model asymptotically approach the I-O outcome. We use sensitivity analysis to examine the speed of adjustment of the neo-classical system and investigate barriers to the attainment of the I-O result.
|Keywords:||regional input-output analysis, Economic Theory, Development, Environmental Science (miscellaneous)|
|Subjects:||Social Sciences > Economic Theory|
|Department:||Strathclyde Business School > Economics|
|Depositing user:||Strathprints Administrator|
|Date Deposited:||29 Apr 2010 14:45|
|Last modified:||06 Jan 2017 07:21|