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Estimating Interregional Economic Impacts: An Evaluation of Nonsurvey, Semisurvey, and Full-Survey Methods

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  • Jan Oosterhaven

    (Department of Spatial Economics, University of Groningen, Postbus 800, 9700 AV Groningen, The Netherlands)

  • Ed C van der Knijff
  • Gerard J Eding

Abstract

Literature shows that nonsurvey input–output tables tend to produce regional multipliers with systematic upward biases. This paper explores the related, relatively uncharted territory of nonsurvey versus survey impact studies by means of a series of simulations. The base case is provided by a very detailed five region survey of both the forward and the backward impacts of the energy-distribution sector in the four northern provinces of the Netherlands. To deal adequately with the two-sided dependence between a firm or sector and a region, as opposed to using the traditional (gross) multipliers, we argue in favor of using a new multiplier concept: the net multiplier. Next, from examining alternative impact study methods ranging from quick and dirty, via semiextensive, to full-survey methods, we conclude that using even aggregate, first-order impact information is more important than using a very detailed survey-based input–output model.

Suggested Citation

  • Jan Oosterhaven & Ed C van der Knijff & Gerard J Eding, 2003. "Estimating Interregional Economic Impacts: An Evaluation of Nonsurvey, Semisurvey, and Full-Survey Methods," Environment and Planning A, , vol. 35(1), pages 5-18, January.
    • Handle: RePEc:sae:envira:v:35:y:2003:i:1:p:5-18
    DOI: 10.1068/a3569
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    References listed on IDEAS

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    1. Jan Oosterhaven & Dirk Stelder, 2002. "Net Multipliers Avoid Exaggerating Impacts: With A Bi–Regional Illustration for the Dutch Transportation Sector," Journal of Regional Science, Wiley Blackwell, vol. 42(3), pages 533-543, August.
    2. Richard M. Beemiller, 1990. "Improving Accuracy by Combining Primary Data with RIMS: Comment on Bourque," International Regional Science Review, , vol. 13(1-2), pages 99-101, April.
    3. Jan Oosterhaven & Gerard Eding & Dirk Stelder, 2001. "Clusters, Linkages and Interregional Spillovers: Methodology and Policy Implications for the Two Dutch Mainports and the Rural North," Regional Studies, Taylor & Francis Journals, vol. 35(9), pages 809-822.
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    1. Xesús Pereira-López & Napoleón Guillermo Sánchez-Chóez & Melchor Fernández-Fernández, 2021. "Performance of bidimensional location quotients for constructing input–output tables," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 10(1), pages 1-16, December.
    2. Louis Mesnard, 2007. "A critical comment on Oosterhaven–Stelder net multipliers," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 41(2), pages 249-271, June.
    3. Jan Oosterhaven, 2007. "The net multiplier is a new key sector indicator: reply to De Mesnard’s comment," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 41(2), pages 273-283, June.
    4. Jan Oosterhaven, 2017. "On the limited usability of the inoperability IO model," Economic Systems Research, Taylor & Francis Journals, vol. 29(3), pages 452-461, July.
    5. Kurt Kratena & Gerhard Streicher, 2017. "Fiscal Policy Multipliers and Spillovers in a Multi-Regional Macroeconomic Input-Output Model," WIFO Working Papers 540, WIFO.
    6. Szabó, Norbert, 2015. "Methods for regionalizing input-output tables," MPRA Paper 73947, University Library of Munich, Germany.
    7. Oosterhaven, Jan, 2015. "On the doubtful usability of the inoperability IO model," Research Report 15008-EEF, University of Groningen, Research Institute SOM (Systems, Organisations and Management).

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