Using Weighted Least Squares to Deflate Input-Output Tables
AbstractThis article proposes a balancing procedure for the deflation of input-output (I-O) tables from the viewpoint of users. This is a 'subjective' variant of the Weighted Least Squares (WLS) method, already known in the literature. It is argued that it is more flexible than other methods, and it is shown that SWLS subsumes the first-order approximation of RAS as a special case. Flexibility is due to the facts that (a) users can attach differential 'reliability' weights to first (unbalanced) estimates, depending on the confidence they have in the different parts of their pre-balancing work, (b) differently from RAS, one is not bound to take any row or column total as exogenously given, and (c) additional constraints can be added to it. The article describes also how SWLS was utilised to estimate a yearly (1959-2000) series of constant-price I-O tables for the Italian economy.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal Economic Systems Research.
Volume (Year): 20 (2008)
Issue (Month): 3 ()
Contact details of provider:
Web page: http://www.tandfonline.com/CESR20
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Lavanda, Italo, 2012. "Employees’ Compensation Share in Italy - La quota del reddito da lavoro dipendente in Italia (1965-2000)," Economia Internazionale / International Economics, Camera di Commercio di Genova, vol. 65(1), pages 55-64.
- Rampa, Giorgio, 2012. "All Because of Euro? On Some Structural Changes in the Italian Foreign Trade, 1960-2000 - Tutta colpa dell’euro? Alcuni mutamenti strutturali del commercio estero italiano, 1960-2000 1960-2000 -," Economia Internazionale / International Economics, Camera di Commercio di Genova, vol. 65(1), pages 97-107.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty).
If references are entirely missing, you can add them using this form.