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RIMS II

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RIMS II

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  1. RIMS II Regional Input-Output Modeling System Zoë O. Ambargis BEA/PNREAP/University of Nevada Regional Economic Workshop Reno, NV September 29, 2009

  2. What is RIMS II? • Input-output model developed by the BEA in the mid 1970’s • Incorporates linkages among industries in a regional economy • Best suited for analyzing the impacts of small changes in a regional economy

  3. RIMS II Has Been Used to Analyze a Variety of Projects • Opening and closing military bases • Changes in tourism • New energy facilities • Construction of sports facilities • New retail establishments • New airports or port facilities • Opening and closing manufacturing plants • Contribution of universities and hospitals

  4. Framing Your Analysis • What is the project/issue being studied? • What is the change? • What is the magnitude of the change? • What is the timing? • Which industries are affected? • What is the affected region?

  5. Ordering RIMS II Multipliers

  6. Type I and Type II Multipliers • Type I multipliers • Industry impacts only • Total impact = direct + indirect • Type II multipliers • Industry impacts and household expenditure impacts • Total impact = direct + indirect + induced • More commonly used than Type I multipliers

  7. Annual and Benchmark Series • Annual series • 2006 national annual I-O data and 2006 regional data • More current, less detailed • 60 aggregate industries • Benchmark series • 1997 national benchmark I-O data and 2006 regional data • More detailed, less current • 473 detailed and 60 aggregate industries

  8. Application Example 1

  9. RIMS II Multipliers

  10. Calculating Impacts Using Type II Final-Demand Multipliers

  11. Accessing Your Multipliers

  12. Multiplier Table 1.5

  13. Comparison of Type I and Type II Impacts

  14. Application Example 2

  15. Calculating Impacts Using Type II Direct-Effect Multipliers

  16. Multiplier Table 1.5

  17. Common Mistakes • Defining the study area incorrectly • Averaging multipliers • Treating employment impacts as FTE impacts • Not converting purchasers’ values to producers’ values • Treating changes in intermediate use as final-demand changes • Not considering the net impact • Using multipliers for “Other government enterprises” to estimate impacts of government • Treating output impacts as Gross Domestic Product (GDP) impacts

  18. 2002 Benchmark Update • RIMS II multipliers will be based on • 2002 national benchmark I-O data • 2007 regional data • Dimensions of tables will change • 406 detailed industries (compared to 473) • 62 aggregate industries (compared to 60) • 21 row industries (compared to 20)

  19. Thank You Zoë Ambargis Becca Bess Hope Franklin Thomas McComb Web site: www.bea.gov/regional/rims/ Phone: 202-606-5343 Fax: 202-606-5321 E-mail: rims@bea.gov