LQ: Simple Location Quotient Updating

In jjpwade/ioanalysis: Input-Output Analysis

Description

Uses simple linear quotient technique to update the matrix of technical input coefficients (A)

Usage

LQ(io)

Arguments

io	An InputOutput class object from as.inputoutput

Details

Uses the simple linear quotient technique as follows:

LQ_i = \frac{X_i^r / X^r}{X_i^n / X^n}

where X^n is the total production, X^r is the total production for region r, X^r_i is the production for region r sector i, and X^n_i is the total production for the ith sector.

Then LQ is converted such that if LQ_i > 1, then LQ_i = 1. Then LQ is converted into a diagonal matrix of values less than or equal to 1, which gives us our final results

\hat{A} = A LQ

Value

Produces the forecast of the matrix of technical input coefficients (A) using the SLQ technique.

Author(s)

John J. P. Wade

References

Blair, P.D. and Miller, R.E. (2009). "Input-Output Analysis: Foundations and Extensions". Cambridge University Press

Nazara, Suahasil & Guo, Dong & Hewings, Geoffrey J.D., & Dridi, Chokri, 2003. "PyIO. Input-Output Analysis with Python". REAL Discussion Paper 03-T-23. University of Illinois at Urbana-Champaign. (http://www.real.illinois.edu/d-paper/03/03-T-23.pdf)

See Also

RAS

Examples

data(toy.IO)
class(toy.IO)

# Anew <- LQ(toy.IO)

jjpwade/ioanalysis documentation built on May 6, 2019, 6:57 p.m.