Leontief Matrix
From Open Risk Manual
Definition
Leontief Matrix. The Leontief A matrix is a direct requirements table calculated from an industry-by-industry transactions table.
The I - A matrix (where I is an identity matrix with ones in the diagonal cells and zeroes in other cells) can be inverted to calculate the Leontief Inverse Matrix or total requirements table.
The elements of the inverse matrix enable one to estimate both the direct and indirect impacts of a change in final uses.[1]
References
- ↑ Concepts and Methods of the US Input-Output Accounts. K.J.Horowitz, M.A.Planting, 2009
