sector 535

Comments

6 comments

  • Official comment
    Avatar
    maria_lucas

    Hi Cathy,

    Sector 535 is an administrative payroll sector (see Special Sector Definitions for more information). Other property type income (OPTI) for administrative payroll sectors represents consumption of fixed capital. OPTI does not drive additional impacts, only the $1,000,000 of Employee Compensation generates the induced impacts in your results.

    If you don’t want OPTI represented in your results, you can utilize the approach you mentioned (removing OPTI from your Direct Value Added and Output), though you will also need to remove an equivalent amount from your Total results (if you remove something from the Direct Effect, you’ll also need to remove it from the Total Effect). 

    Thank you,

    IMPLAN Staff

  • Avatar
    cathythomas

    Thank you Maria,

    Follow up....will the OPTI also affect the induced value added and output?

    Would using the labor income column (in the summary results) in place of the reported value added and output columns make sense?

    Thanks!

    Cathy

  • Avatar
    maria_lucas

    Hi Cathy,

    No, OPTI doesn't generate any indirect or induced impacts because IMPLAN doesn't have enough information to determine that the fixed capital expenses were spent in the Study Region. OPTI is only included in the direct and total results. 

    Thank you,

    Maria

  • Avatar
    cathythomas

    Thanks Maria!

  • Avatar
    cathythomas

    An idea...

    Could I accomplish this by editing National Per Worker OPTI to $0 for Sector 535 in the Customize model section?

  • Avatar
    maria_lucas

    Hi Cathy,

    We tend to urge against modifications to the model when other avenues exist, but this is a case where customizing the model is relatively harmless (assuming this is the full extent of your modification).

    To ensure proper adjustment, follow the steps below.

    In the Customize menu with sector 535 selected:

    1. Select “Edit totals then update per worker” from the Edit Options radial menu
    2. Adjust Output Total so that it matches Employee Compensation (EC)
    3. Set Other Property Type Income to $0
    4. Check the lock box next to Intermediate Expenditures
    5. Select Update
    6. Go to Options > Construct > Multipliers

     

    Once completed, you can impact sector 535 with your EC value and your Industry Sales value will match. Your value added results will be equal to your EC (OPTI will no longer be included).

    Thank you,

    Maria

     

Please sign in to leave a comment.