We are doing an analysis of final demand increases in an industry over several years. My approach has been to use IMPLAN models specific to the year of the final demand. What we've noticed is that the final demand employment multiplier has declined over time, as one might expect if labor costs are rising, but there has also been a pretty consistent decline in the output final demand multiplier, the employment direct effects multiplier and the labor income direct effects multiplier. Do you have any suggestion as to how we might interpret this pattern? Thanks very much in advance.
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