Output Multiplier
From Open Risk Manual
Revision as of 16:31, 28 February 2022 by Wiki admin (talk | contribs)
Definition
An Output-to-Output Multiplier indicates how total production will change as final demand is changed in any one sector of the economy.
Formula
The output multiplier for sector j is the sum of column j of the interdependence coefficients matrix. This output multiplier measures the amount of out-put generated by a $1 change in final demand for the output of the jth sector.
