Reallocation

Definition

Reallocation. The inputs that are reassigned along with the redefined output of secondary products.

Both intermediate inputs and value-added components are reallocated in moving from the use table before redefinitions to the use table after redefinitions. They are subtracted from the industry that produced the secondary product and added to the industry for which the product is primary. The sum of the reallocations must be equal to the value of the redefined output.