This tutorial explains how to run an Input-Output scenario in Analyst.
Scenarios are run for “what if?” situations, such as business expansion or a company closing down. The I-O model takes what we know (like the number of jobs being lost or gained), and shows the ripple effects on other industries in the region. You can add and take away jobs, earnings and sales from the I-O model.
In this tutorial, we’ll look at the impact of adding 50 jobs to the marine fishing industry in Cornwall and Isle of Scilly. This would be applicable if we knew that a certain company was planning on adding 50 jobs, and we’ll find out what other impact that would have on the local regional economy.
- Start by clicking into The Input-Output Model from the home page
- Click Input-Output Scenario
- Under “Select a Region” enter the region you’d like to use and select it from the list. We’ll use Cornwall and the Isle of Scilly for this example.
- IMPORTANT: Input-Output scenarios are extremely dependent on the correct region being used. I-O situations require that a functional economic area be used when modelling changes to an economy.
- Under “Add 4-digit Industries to Scenario” enter the industry you’d like to change or click browse. We’ll put in Marine Fishing (0311) for this example.
- You’ll see your selected industry appear below, along with a drop down menu to adjust Jobs, Earnings, or Sales figures. We’ll adjust jobs in this case, in the box marked “Change” we’ll enter 50. To model job loss, simply add a “-“ before the number.
- Click Run.
Now we can see the results of adding 50 jobs in Marine Fishing industry to Cornwall and the Isle of Scilly. A total change in earnings of over £1.6 million, 69 total jobs added to the economy, with an average earnings per job of over £23,500. These changes are the results of different multipliers, seen beneath the totals.
We can also click Show Job Distribution at the bottom to see more detail on which industries, occupations, or demographics will add those jobs in the region.