© 1975 by British Computer Society
A note on computational methods for input-output econometric models
Economic Growth Branch, Business Outlook Division, US Department of Commerce, Social and Economics Statistics Administration, Bureau of Economic Analysis, Washington, USA, Center for Advanced Computation, University of Illinois, Urbana, Illinois, USA
Input/output economic models lead to large dense unsymmetric systems of linear equations. While solutions of the equations are of primary interest, the situation is somewhat unusual in that the elements of the Leontief inverse are physically meaningful and hence of value. In the analysis of such systems we would like to determine the effects of the solution of the Leontief equations due to changes in the transaction data. In particular we discuss modifications down a column of the direct coefficients matrix, modifications along a row, and disaggregation of the industries in the new system. Numerical technique are available in the literature for obtaining new solutions due to these changes with far less operations than those required to solve the system from scratch.
Received September 1973.
* Economic Growth Branch, Business Outlook Division, US Department of Commerce, Social and Economics Statistics Administration, Bureau of Economic Analysis, Washington DC 20230, USA; Center for Advanced Computation, University of Illinois, Urbana, Illinois 61801, USA