Calculating direct effects for non-operational mine, unsure about inputs



  • Official comment
    Candi Clouse

    Hi there!

    It sounds like you are using IMPLAN Pro (the desktop software). If this is the case, you can follow these steps:

    • Create a New Event
    • Choose your Sector
    • Tab over to Employment and enter your total employment
    • Tab to Employee Compensation and enter that value
    • You will get a pop up that you are going to change the Event to custom. Choose Yes.
    • Tab over to Proprietor Income and give that a zero

    By not entering anything in the Industry Sales box, IMPLAN will calculate this for you. Now you can run your analysis and you will get values for Value Added and Output.

    There are many resources available for using IMPLAN Pro on our support site here:

    Please let us know if you have further questions.

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  • Avatar

    It seems that the industry sales generated by implan would not be accurate given that the mine is not earning any revenue. It is currently idle. We are more concerned with how to calculate output given that as far as we are aware, the only expenses that the company has are the wages and benefits for its employees. 

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  • Avatar
    Candi Clouse

    Output in IMPLAN is defined as Intermediate Expenditures + Value Added.

    Value Added (VA) is defined as Employee Compensation (EC) + Proprietor Income (PI) + Taxes on Production and Imports (TOPI) + Other Property Income (OPI)

    In that the mine does have EC, there will be TOPI and OPI. So, your VA number should be EC + TOPI + OPI. If they are not buying any IE, then that would be zero and your VA would equal your Output. While you can't enter a number for IE in IMPLAN, you can override your Direct results to have VA = Output.

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