Say I have a loss in labor income, specifically, Employee Compensation, of -$2,127,240, as in scenario 3a shown [url=http://mig-inc.com/Support/SupportWiki/tabid/158/Default.aspx?topic=Labor+Income+Change+Activities]here[/url]. How are the induced effects calculated for each sector? Additionally, why are there no indirect effects associated with the induced effect? If spending goes down in a sector, would not it affect the sales in that sector, and, as a result, the industries from which it buys its inputs? Thanks for your help.
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