What is the proper way in Implan to account for direct payments to contract workers, a la 1099 filers?
I am analyzing a large corporation, and have internal data on wages, salaries, fringes, etc., and will use those to customize the regional model. Obviously, Company payments to employment services firms get counted in that sector of the production function. But what about payments to individuals who are not employees, but who are integral to the company's operations? Are those properly counted in Proprietor Income (even though they are not owners of the Company)? They are actually part of the labor costs to the firm.
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