Unusual indirect employment

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    IMPLAN Forum
    Hello Julianne, Can you describe how you setup your MRIO? Is your Direct impact taking place in a single county and you have linked both a NYC model and a NJ state model? Also, if you are linking a NJ state model, is it a state total file or is it an aggregation of all counties in NJ less the Direct impact county? Regards, IMPLAN Staff
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    Julianne Yee
    Yes, the direct operational employment is occurring in one county in NJ. I ran the following models: the one county in NJ, NJ less than said county, NYC and NYS less NYC.
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    IMPLAN Forum
    Hello Julianne, Thank you for the confirmation regarding your methodology. As to the proprietor income and employment, this is due to how Proprietors are accounted for in the IMPLAN system. Unlike the place-of-work Wage and Salary data used by IMPLAN to account for employees, the Proprietor Employment data are place-of-residence based. That is, a well-owner who lives in NYC but whose well is in another state will show up in the BEA data (and subsequently, in the IMPLAN data) as a proprietor in O&G extraction sector in the NYC data set. That proprietor is then allocated a certain proportion of the U.S. O&G extraction output, since the output data are reported at the U.S. level only. As there are oil & gas proprietors in NYC, demand for oil & gas can be met from NYC, since there will be output there (one can’t have PI without output). Extraction sectors are particularly problematic in this regard. The link below is to a forum post that discusses proprietors and partnerships. http://support.implan.com/?option=com_kunena&view=topic&catid=80&id=16145&Itemid=1840#16157 Regards, IMPLAN Staff
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    Julianne Yee
    Hi there Thank you for your response. I am considering removing this sort of assumption from the analysis. How would I zero out such proprietor assumptions so that indirect is not so unusually large? Thank you,
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    IMPLAN Forum
    Hello Julianne, Would you be willing to provide further details regarding your study. We are attempting to recreate the results you are seeing and need to know the exact parameters of your study. If possible, could you please email support@implan.com and provide the name of the Direct Impact county and your input value(s)? Regards, IMPLAN Staff
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    IMPLAN Forum
    Hello Julianne, Thank you again for the additional information. As the Output related to sector 20 in NYC is Proprietor based, you can modify your NYC model by using the "Zero Out Industry" option in the Customize Study Area Data menu for sector 20. This will prevent impacts associated with sector 20 from occurring in the NYC linked model, reducing your Indirect employment. We suggest starting from the beginning - that is rebuild all of your models, modify the NYC model, and then run your analysis. You can find information about customizing a model at the link below. http://support.implan.com/index.php?option=com_content&view=article&id=409 Regards, IMPLAN Staff
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    Julianne Yee
    Hi there If I am using employment as an input and look at the tax output, what is being reflected in the state and local property tax value? Are the property taxes for the employees or the contribution from the facility they would be working at? Thank you,
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    IMPLAN Forum
    Hello Julianne, Taxes on Production and Imports (TOPI): Property Taxes includes both homeownership property tax and property taxes paid by businesses. Household ownership is treated as an industry; currently sector 441 Owner-Occupied Dwellings in the 536 sector scheme. TOPI payments by sector 441 represent homeownership property taxes. Do note that only households make payments to sector 441; therefore homeownership property tax will only appear in your Induced and Total Tax results. If you are viewing only Direct Tax Results, then the TOPI: Property Tax payments represent only the TOPI property tax paid by the directly impacted industries. This is regardless of the input used at the start of the analysis. You can find more about the Owner-Occupied Dwellings sector at the link below. http://support.implan.com/index.php?option=com_content&view=article&id=376:376&catid=222:222#sector-441-owner-occupied-dwellings Regards, IMPLAN Staff
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