Output Multiplier
From Open Risk Manual
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Definition
An Output-to-Output Multiplier indicates how total production will change as final demand is changed in any one sector of the economy. The output multiplier for sector j is the sum of column j of the Technical Coefficients Matrix. This output multiplier measures the amount of output generated by a $1 change in final demand for the output of the jth sector.
Formula
If we represent the elements of the Leontief Inverse Matrix () as , then the output multiplier is defined as: