IMPLAN data vs QCEW

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5 comments

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    IMPLAN Support
    Hi Christine, Thank you for your post. So that we can help answer your question, would you be apply to supply us with the data year and region you are looking at. Thanks!
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    ccooper
    Sorry! Yes, we are using 2013 annual QCEW data for Los Angeles County, compared to 2013 IMPLAN data for Los Angeles County.
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    IMPLAN Support
    Hi Christine, Great observation on your part and very valid question! While IMPLAN employment figures generally start off larger than CEW figures due to the addition of proprietors, a proportion of some sectors’ activity (employment, output, income, etc.) later gets reclassified into other sectors. This follows the BEA “redefinitions” practice and is designed to reassign products from producing industries in which they are secondary product, to the industries where those products are primary. Sector 499 (NAICS 721110 and 721120) happens to be one of the most redefined sectors. Consider a hotel in Las Vegas which has a casino, restaurant, gift shop, and concert stage. This hotel would not be very well represented by the production function, income per worker ratio, output per worker ratio, etc. of the hotel and motel sector. Thus, using the national redefinitions table from the BEA, we take certain small portions of this industry’s activity and “redefine” them to other appropriate sectors such as Gambling (495), Restaurants (503), various Retail, Performing Arts (488), etc. Please let us know if you have additional questions.
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    ccooper
    Thank you so much for your explanation. I guess this will change how we interpret the employment numbers for other sectors as well! I have another questions regarding the data. The commodity trade for 3499 shows zero foreign exports. We know that this commodity is exported overseas. I was hoping to use the domestic versus foreign trade values to demonstrate the importance of foreign exports in the industry. Am I misinterpreting this table somehow? (In the absence of this distinction, I will lump domestic and foreign exports together but it would be great to separate them.)
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    IMPLAN Support
    Hi. Commodity 3499 - Hotels and motel services, including casino hotels – may be consumed by foreigners and therefore would be an export according to the National Income and Product Accounts (NIPA) concept of exports; however, exports of this particular commodity and of other similar services consumed by foreign travelers in the United States are not tracked on a commodity basis. Such expenditures by foreign travelers in the United States are initially measured by government data sources as personal consumption expenditures (PCE) and aggregated with non-export PCE. An adjustment is made – Rest of World Adjustment (ROW, IMPLAN commodity 3529) – to make PCE consistent with the NIPA concept of exports. ROW includes conceptually similar adjustments for government spending and non-travel spending by foreigners, but spending by foreign travelers constitutes a large share of the ROW value for the United States. IMPLAN does not have commodity detail on the ROW item. At the national level, the BEA identifies a “travel” component of the ROW value, but that can include a variety of commodities other than accommodations. Thanks!

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