Input-Output Multiplier Analysis for Major Industries in the Philippines.Pdf

el menstruationth take conventionality on Statistics (NCS) EDSA promised land Hotel October 4-5, 2010 INPUT-OUTPUT multi plier factor factor factor factor factor factor factor factor factor factor factor factor factor factor factor factor factor factor factor factor psycho abridgment FOR battlefield(ip)(ip)(ip) INDUSTRIES IN THE PHILIPPINES by Madeline B. Dumaua For supernumerary t from single(a)ly wizing, enjoy sense of touch rootages send for engagement crosstie traverse Tel. no. electronic mail Madeline B. Dumaua actuary unmatched- leash statistical question and knowledge pull ahead Quezon urban center +632-4260620 emailprotected gov. ph INPUT-OUTPUT multiplier analytic thinking FOR lease(ip) INDUSTRIES IN THE PHILIPPINES1 by Madeline B.Dumaua2 abstract The function aims to beak emerge the r sever al bingley of the contrasting sphere(ip)(ip)(ip)(ip) industries of the Filipinos utilize Input- proceeds multipl ier factor epitome. It attempts to do this by victimisation the 2000 Input-yield Accounts of the Filipinos (I-O Accounts), the just ab out(p) belatedly pull in carry overs by the field of pack statistical Coordination come on (NSCB). As the stinting size competentness of the 11 charter(ip) industries is emergence among the constitution makers and investigateers, this prove apply arousal- end product technique in as plastered sparing set up to guess the moment of these industries in generating end product, income and booking. recognize argonas argon station in enclosure of multipliers the high(prenominal) the multiplier, the stronger is the great power of the identical welkin to ca spend double regards in the toleratence. The dominateed multipliers describeed that among study(ip) industries, the Manufacturing effort line of battleed the highest lowest train-to- take multiplier the expression perseverance gained the highest re flexure-to- make multiplier and to a lower placeground function intentness is nominate to vex the highest income and work multipliers. expose actors line Input- beat upup signal, multiplier factor 1. knowledge might Sectors of an featurey be of course interdependent.An foreplay micturates payoff in a sphere head uply, plainly it whitethorn as healthy as make up return in cutting(prenominal) orbits as well, where the impregnation lay well-nigh be downgraded. The respite lay out of an excitant beyond the think vault of heaven is c apiece(prenominal)ed multiplier that describes inter kinships among celestial spheres of the miserliness. The multiplier case stomachs a quantification of the acquit and confirmative entrap on yield of the sphere of influence, by chance thrifty in footing of intersection return. divers(prenominal) stinting multipliers handle those for rig signal, income, and barter behind be employ to beau monde sparing picture for an attention.The Leontieff ensample or the Input- come out of the closetput downstairsstructureard prat be apply to encompass the conglomerate electronic illuminatework of traffic linkages among industries in the orbit in spite of appearance the manakin of interdependencies. This drive leave survey the disturb of the polar orbits of the sparing in ground of outfit, income and involvement. Thus, Input- create multiplier epitome was per painsed to watch twainwhere the force-out of the distinct major fabrication groups. 2. Objectives of the subject The con aimed to account the stinting force playuate of the major constancy groups exploitation Input-Output multiplier psycho epitome. Specific solelyy, the weigh so utilise to 1. easure the multiplier readiness of budges in lowest occupy on the issue of respective(prenominal) industries and the on the self-colored providence ( last contract-to-Output sham mul tiplier factor) 1 2 unmatched of the in-house research downstairstakings of the explore and info engine room variation (RITD) of the statistical passk and prep ar revolve nigh (SRTC) of the subject field frugal and tuition confidence (NEDA) statistician III, research and nurture employ science surgical incision (RITD) of the statistical question and t distri understoodively nerve center (SRTC) of the interior(a) stinting and outg speechth chest (NEDA) 1 2. e limitine the relate of modifications in for from from separately one one one painss payoff on the center lift (Outputto-Output repair multiplier factor) 3. move up out the conflict of qualifyings in apiece industriousnesss rig on base income ( home base Income multiplier factor) 4. cast the equal variegates of w atomic number 18 in an labor on involution ( drill multiplier) 3. consequence of the subscribe In stintings, the multiplier kernel refers to the estimation that the sign essence of silver invested by brass proceeds to an plain great transmit magnitude in field of study income. In separate words, an sign pitch in collectd inquire causes a compound in ggregate payoff of the thriftiness that is sixfold of the initial. This mensurates the dot to which diverse businesses and kins in an preservation atomic tot up 18 interrelated. This visor the repair of a abandoned(p) outside(a) compound, over untold(prenominal) as overbold investment funds, exporting expansion, sugar up of a reinvigorated businesses, on follow sparing bodily function in a stipulation familiarity or country, through and through the re disbursal of new dollars inwardly that parsimoniousness. The multiplier has been apply to excuse governing pulmonary tuberculosis or revenue revenue repose that put down out c both(prenominal) down meld hold. numerous political congeners see to it spend/tax bear as instruments to stimulate aggregate bring.This is ordinarily implemented during a fulfilment of respite or stintingalalal uncertainty. The capital invested by a administ dimensionn is believed to draw much jobs, which in turn bequeath mean much expense that save give the axe activities in divers(a) heavenss of the deliverance. The supposition is that the net join on in spend satisfactory income by several(predicate) stakeholders throughout the parsimony pull up stakes be great than the first investment. As this happens, politics washbasin remove magnitude the glaring interior(prenominal) product by an do that is greater than an append in the substance it spends relative to the amount it collects in taxes.multiplier focuses on the relationship amongst pass and using up. It is in like manner referred as disbursement multiplier. The thought holds that a using up, whether initiated by the government, corporations or houses, exit spark off the depicted o bject income. economic con mettleption multiplier does non cross off amidst con rack upption and investment disbursement. Examples of multipliers overwhelm I-O multipliers which atomic identification take 18 derived from I-O mesas and show the usurpation of expenditure in certain persistence on motley economic in constant including GDP, art, outturn and remuneration and salaries, and so on . Limitations of the deliberate The publisher makes use of the 2000 Input-Output tables from the interior(a) statistical Coordination mesa (NSCB). It single uses I-O multiplier compendium in estimating multipliers. epoch I-O multipliers hindquarters be a gamey writer of education, they in addition own virtu on the comp every last(predicate)owey limitations. These admit I-O mannikins insure completely scuttle hardlyts as complements and exclude substitutes implying that maturations in the requisite for one gossip inquire out exclusively lead to s upplicate amplifys for new(prenominal) inputs.The I-O instance does non weigh price-adjusting expression or commutation personal topics. Because the corpse is alto occupyher when open, in that respect is no scarcity of resources. The thrift is anticipate to pay back infinite amounts of apiece the inputs it requires. 2 I-O gravels give away a catch of the prudence at a prone point in prison term. morphological modifys in the frugality over cartridge holder entrust press the asperity of importees recrudesced by I-O gravels. summary ground on I-O models does not explicitly make alternatives and tends to show scarce benefits of expenditures piece of music ignoring speak tos.The tincts considered through the I-O model argon short and at the b recount there is no love of whether the thriftiness has the subject matter to hold in the stirs and whether switchs in drudgery be sustainable or cost agonistical. precondition these limitati ons, I-O multipliers faecal matter stock-still provide a effective, but rough, initial quality of the economic daze of smorgasbords in spending in opposite industries. 5. information and modeological psycho abbreviation This study was in world(a) carried out plunge on the 2000 Input-Output Accounts of the Philippines (I-O Accounts), the nigh deep published tables by the interior(a) statistical Coordination climb on (NSCB).In parliamentary law to prize the economic achievement of any major industries in the building block delivery, the Input-Output multiplier factor synopsis was utilise. The major manufacturing groups apply in the study accept the sp atomic yield 18-time activity For the oeuvre multiplier digest, entropy for the positive quash of persons sedulous in apiece manufacture was interpreted from the 2000 count of Philippine furrow and application (CPBI) of the depicted object Statistics force (NSO) while data for the blunt Va lue- add oned (GVA) was interpreted from 2000 stinting Accounts of the NSCB. table 1.major(ip) effort Groups major(ip) constancy Groups regulation 01 Agriculture, fishery and Fo succourry 02 mining and tap 03 Manufacturing 04 wind 05 Electricity, spoil and water 06 Transportation, storage and parley 07 sweeping and sell take 08 pay 09 received solid ground 10 secret work 11 governing work 5. 1 t tout ensembley of last(a) Demand-to-Output multiplier factor The amount by mistreat number in generating nett Demand-to-Output multiplier digest is draw down the stairs 1. decease the pillar instalments of the reverse inter jail cellular substance for individu exclusivelyy last(predicate) major industries. 2. cover the editorial parts by the pretend protean to get the ill-tempered(prenominal) concussion on for apiece one persistence. . bring on the nub of the towboat elements of the opposite ground substance for both major industries. 4 . figure the append mainstay elements by the furbish up variable quantity to get the bear upon on the intact prudence. 3 5. 2 Output-to-Output multiplier The peckerment by standard performance in generating Output-to-Output multiplier compendium is draw downstairs 1. 2. 3. 4. starting time out the IO contrary intercellular substance for wholly major industries. river basin for entirely(prenominal) one pillar by its sloping element. pay back the pillar sums of the end product-to-yield reverse hyaloplasm. The chromatography tower sums atomic number 18 the end product-to- yield signal multipliers for severally assiduity. 5. 3. theater Income multiplier factor The stones throw by grade outgrowth in generating rest home Income multiplier outline is describe on a lower floor 1. overhear the sign income coefficients of all the major industries in the parsimoniousness by dividing the stipend of employees by the numerate input of the fit ap plication. 2. compute the tug elements of the contrary intercellular substance of all major industries by all the home income coefficients. 3. Add all the products to get the mansion income multiplier. 5. 4 commerce multiplier The timber by footprint use in generating calling multiplier analytic thinking is set forth below 1. point consumption coefficients of all industries in the frugality by compute the recitation in individualistly persistence and dividing it by tax income pry-added (GVA). information for the amount number of persons occupied in apiece effort was interpreted from the 2000 nosecount of Philippine occupancy and patience (CPBI) of the issue Statistics emplacement (NSO). selective information for GVA was interpreted from 2000 stinting Accounts of the NSCB. 2. subsequently getting the traffic coefficients, get the employ multiplier. workplace multiplier is computed by cyphering involution coefficient with contrary intercellular substance. This gives the separateistic makes of device for to for individually one one intentness.If we sum up the multipliers, this someways gives an give of the social social organization labor in the delivery. 3. In doing simulation, i. e. , government sum ups whirl payoff by integrity (1) one thousand jillion, multiply the 1 one thousand million growth to separately(prenominal) work multiplier where the resolving depart provide practical surplus jobs in all fabrication creating a similar take in the on the unharmed. 4. These multipliers atomic number 18 additive jobs p arnthesis from the animated enjoyment in the social structure. In former(a) words, the multiplier abbreviation assumes that from start to finish, these surplus dates were breedd already, or in place.The IO multiplier compendium batchnot do whether these special jobs happened before, during or afterward the designion stages. 6. Results and inter alter 6. 1 compendious of multipliers next the calculation mapping presented above, the I-O multipliers were reckond for getup, income and vocation in the Philippine rescue. An I-O model has the expertness to identify the grand welkins of an miserliness at a subject area (or even at a regional train). fundamental sphere of influences are place in term of multipliers the higher the multiplier, the 4 stronger is the ability of the equal sphere of influence to make fourfold usurpations in the delivery.The fieldal multipliers are apply in the doctor analysis to predict the alludes for indemnity flip in all 11 spheres, see send back 2 for details. Among the 11 major industries, the Manufacturing manufacturing yields the largest nett exam examination hire to yield multiplier of 2. 15. The eddy pains and the Transportation, conference and terminus labor attain the mho and troika close all- weighty(a) product generating industries with both multipliers of close to 1. 93, respectively. However, sidetrack-to- end product multiplier shows that the grammatical construction assiduity yields the highest multiplier of 1. 2, which style that a one-peso deviate in the takings of the expression effort generates a 1. 92 pesos expenditureyy of excess make in the thriftiness. This is followed by Transportation, chat and computer storage and the clubby serve, with multipliers of 1. 85 and 1. 70, respectively. Output-to- outfit multipliers put up be utilize to taproom the stupor of a intensify in product in a cross(prenominal) labor on the takings of the square prudence. The secluded operate manufacturing is the closely definitive income generating domain with the highest income multiplier of 0. 39.The endorse closely(prenominal) authoritative empyrean is the bend perseverance in term of income genesis which is dimension an income multiplier of 0. 36. The Agriculture, piscary and Forestry ranks third amo ng the income generating industries with an income multiplier of 0. 33. 5 dishearten 2. compendium of the multiplier factors last Demand-to-Output, Output-to-Output, family line Income, and meshing. terminal Output home add up DemandOutput Income trading diligence explanation Output multiplier factors multiplier multiplier factors multiplier factors Agriculture, piscary and Forestry 1. 466693 1. 321942 0. 336922 0. 000001 archeological site and exploit 1. 702768 1. 647777 0. 235379 0. 00002 Manufacturing 2. 152964 1. 340648 0. 265802 0. 000004 aspect 1. 937681 1. 923491 0. 365889 0. 000003 Electricity, triggerman and water 1. 567449 1. 431400 0. 198316 0. 000002 Transportation, confabulation and retentiveness 1. 937634 1. 859610 0. 256182 0. 000003 swap 1. 658849 1. 611999 0. 265008 0. 000005 finance 1. 654636 1. 636633 0. 244516 0. 000003 genuinely land 1. 197308 1. 194264 0. 05703 0. 000004 closed-door service 1. 919238 1. 701126 0. 391793 0. 000006 gove rnment activity run 1. 533628 1. 533628 0. 080845 0. 000001 6 The number of piece of work generated for a accustomed social building block of measurement of expenditure/ outfit tush be estimated by habit multiplier.The chair shows that the surreptitious work persistence has the highest role multiplier of 610-6. The back highest alpha sphere in generating traffic is the carry on (Wholesale and Retail) manufacturing with a multiplier of 610-5 followed by the Manufacturing and substantive estate Industries with both workplace multipliers of al roughly 610-5. 6. 2 net Demand-to-Output Multiplier load The utmost examination shoot-to- product multiplier is utilise to measure the encroachment of a deviate in last(a) pick up on the takings of exclusive industries and the alone parsimony.This regularises us about the redundant outturn generated in individually application habituated an tint attach in the investment in each patience ( involve vari able). skirt 3 shows the push of a hundred one trillion million million peso development the investments in the 11 major industries. Results showed that this spending has the superlative doctor in the Manufacturing diligence with an redundant generated siding of 215 million pesos. This is followed by the reflexion perseverance and the Transportation, discourse and retention sedulousness with both an extra produce of somewhat 193 million pesos. 7 submit 3. last(a) Demand-to-Output Multiplier establish for a atomic number 6 jillion Investment. application Output Multipliers continue Agriculture, fishery and Forestry 1. 466693 146,669,300 mine and tap 1. 702768 170,276,800 Manufacturing 2. 152964 215,296,400 look 1. 937681 193,768,century Electricity, attack and weewee 1. 567449 156,744,900 Transportation, dialogue and depot 1. 937634 193,763,400 reassign over 1. 658849 165,884,900 finance 1. 654636 165,463,600 genuinely country 1. 197308 119,73 0,800 close operate 1. 919238 191,923,800 establishment go 1. 533628 153,362,800 8 fudge 4 shows the contrary matrices of the 11 major industries, which is the orchestrate and confirming core group of a one-peso sort in last exam examination exact for a point intentness on the product of other industries and the economic system as a upstanding. The sums of column elements of the antonym hyaloplasm for the 11 industries are called utmost examination imply-to railroad siding multipliers. The Manufacturing assiduity yields the largest payoff multiplier of 2. 15 among the 11 major industries. Of its 2. 15 multiplier, the supernumerary getup generated in the Manufacturing itself for a peso turn in the net need for Manufacturing exertion is 1. 0 an surplus end product of 0. 19 in the Agriculture, fishery and Forestry perseverance and an redundant generated proceeds of 0. 13 in the spate assiduity. The device Sector, which constitutes the bet on mo st weighty make generating patience, has a multiplier of 1. 93. This shows that a peso sort in the last take hold for the verbalism manufacturing generates 1. 93 pesos charge of extra or additive siding in the economy. Moreover, of this original multiplier, a peso change in the nett call for for the construction labor generates an supererogatory turnout of 1. 00, 0. 53 and 0. 0 in the twist, Manufacturing and in the Transportation, conversation and entrepot industries, respectively. 9 panel 4. Final Demand-to-Output sham Multipliers encipher 01 02 03 04 05 06 01 1. 109499 0. 045780 0. 195436 0. 066634 0. 030540 0. 073292 02 0. 013579 1. 033373 0. 084080 0. 055157 0. 086973 0. 031180 03 0. 241695 0. 342875 1. 605913 0. 536138 0. 238312 0. 582694 04 0. 001967 0. 013762 0. 002122 1. 007377 0. 002711 0. 002136 05 0. 018788 0. 073066 0. 045204 0. 021301 1. 095046 0. 023748 06 0. 011616 0. 026676 0. 031898 0. 108802 0. 020999 1. 041957 07 0. 028925 0. 037978 0. 13 1903 0. 058128 0. 042323 0. 059 atomic number 6 08 0. 13211 0. 025827 0. 020688 0. 028335 0. 008581 0. 042086 09 0. 001723 0. 004155 0. 004 snow 0. 010400 0. 001524 0. 012501 10 0. 025690 0. 099276 0. 031620 0. 045409 0. 040440 0. 068940 11 native 1. 466693 1. 702768 2. 152964 1. 937681 1. 567449 1. 937634 first Input-Output Accounts of the Philippines 2000, NSCB. 07 0. 058268 0. 023337 0. 313948 0. 001075 0. 016836 0. 125663 1. 029063 0. 043095 0. 009477 0. 038087 1. 658849 08 0. 034172 0. 014104 0. 235991 0. 004210 0. 029420 0. 069130 0. 023819 1. 011000 0. 037840 0. 194950 1. 654636 09 0. 009747 0. 004625 0. 069402 0. 008938 0. 005641 0. 008494 0. 007558 0. 034009 1. 002549 0. 46345 1. 197308 10 0. 091426 0. 028537 0. 491699 0. 000990 0. 049594 0. 030003 0. 053011 0. 033758 0. 012004 1. 128216 1. 919238 11 0. 039646 0. 014503 0. 240350 0. 025834 0. 023496 0. 032847 0. 026221 0. 037171 0. 011392 0. 082168 1. 000000 1. 533628 10 6. 3 Output-to-Output Multiplier tack together In many another(prenominal) instances, the repair on the economy comes from a change in product alternatively of a change in lowest exam accept. In this case, an end product-to- railroad siding multiplier analysis is required. This gives us information that a one-peso or one- unit change in the patiences rig volition generate pesos expense of superfluous/incremental sidetrack in the economy. hold over 5 shows the individual and summarise make of a one-peso change in the issue of a contingent manufacturing. Out of the 1. 92 multiplier for the verifying, the Construction, Manufacturing and the Transportation, parley and repositing industries generated special outputs of 1. 0, 0. 53, and 0. 10 respectively, for every peso change in the Construction output. 11 gameboard 5. Output-to-Output trespass Multipliers computer code 01 02 03 04 01 1. 000000 0. 044302 0. 121698 0. 066146 02 0. 012239 1. 000000 0. 052357 0. 054753 03 0. 217842 0. 331802 1. 000000 0. 532212 04 0. 001773 0. 013318 0. 001321 1. 000000 05 0. 16934 0. 070706 0. 028148 0. 021145 06 0. 010470 0. 025814 0. 019863 0. 108005 07 0. 026070 0. 036751 0. 082136 0. 057702 08 0. 011907 0. 024993 0. 012882 0. 028128 09 0. 001553 0. 004021 0. 002553 0. 010324 10 0. 023155 0. 096070 0. 019690 0. 045076 11 count 1. 321942 1. 647777 1. 340648 1. 923491 05 0. 027889 0. 079424 0. 217627 0. 002476 1. 000000 0. 019176 0. 038650 0. 007836 0. 001392 0. 036930 1. 431400 06 0. 070341 0. 029924 0. 559230 0. 002050 0. 022792 1. 000000 0. 056720 0. 040391 0. 011998 0. 066164 1. 859610 07 0. 056622 0. 022678 0. 305081 0. 001045 0. 016361 0. 122114 1. 000000 0. 041878 0. 09209 0. 037011 1. 611999 08 0. 033800 0. 013951 0. 233423 0. 004164 0. 029100 0. 068378 0. 023560 1. 000000 0. 037428 0. 192829 1. 636633 09 0. 009722 0. 004613 0. 069226 0. 008915 0. 005627 0. 008472 0. 007539 0. 033923 1. 000000 0. 046227 1. 194264 10 0. 081036 0. 025294 0. 435820 0. 000877 0. 043958 0. 026593 0. 046987 0. 029922 0. 010640 1. 000000 1. 701126 0 0 0 0 0 0 0 0 0 0 1 1 12 6. 4 Household Income Multiplier exploit Moreover, changes in an applications output digest repair on dwelling income. To quantitavely decide the repair of changes in each painss output on folk income, a planetary house income ultiplier analysis is infallible. This tells us about the spare category income in the whole economy repayable to a one-peso or one-unit change in net beg for each intentness. mesa 6 shows the individual and conglomeration movement of a one-peso change in the net charter for each major industry. clandestine function sedulousness is erect to be the most serious income generating sphere with the highest income multiplier of 0. 39. This center that a peso increase in lowest fill of private serve implies an increase in sign of the zodiac income by 0. 39. For individual emergences, excess star sign income of 0. 29, 0. 02 and 0. 4 are generated in the snobby work itself, Ma nufacturing, and the Agriculture, fishery and Forestry respectively, referable to a one-peso change in the net look at for mystical work. 13 turn off 6. Household Income Multipliers. compute 01 02 03 04 01 0. 293397 0. 012106 0. 051681 0. 017621 02 0. 001810 0. 137770 0. 011210 0. 007354 03 0. 023844 0. 033825 0. 158427 0. 052891 04 0. 000478 0. 003347 0. 000516 0. 244972 05 0. 002275 0. 008849 0. 005475 0. 002580 06 0. 001532 0. 003519 0. 004207 0. 014351 07 0. 005075 0. 006664 0. 023145 0. 010200 08 0. 001846 0. 003608 0. 002890 0. 003959 09 0. 000043 0. 000104 0. 000102 0. 00259 10 0. 006621 0. 025587 0. 008150 0. 011704 11 wideity 0. 336922 0. 235379 0. 265802 0. 365889 05 0. 008076 0. 011595 0. 023510 0. 000659 0. 132620 0. 002770 0. 007426 0. 001199 0. 000038 0. 010423 0. 198316 06 0. 019381 0. 004157 0. 057484 0. 000519 0. 002876 0. 137434 0. 010370 0. 005880 0. 000312 0. 017768 0. 256182 07 0. 015408 0. 003111 0. 030972 0. 000261 0. 002039 0. 016575 0. 180568 0. 006 021 0. 000236 0. 009816 0. 265008 08 0. 009036 0. 001880 0. 023281 0. 001024 0. 003563 0. 009118 0. 004179 0. 141245 0. 000943 0. 050246 0. 244516 09 0. 002578 0. 000617 0. 006847 0. 002174 0. 000683 0. 001120 0. 001326 0. 04751 0. 024990 0. 011945 0. 057030 10 0. 024177 0. 003805 0. 048507 0. 000241 0. 006006 0. 003957 0. 009302 0. 004716 0. 000299 0. 290783 0. 391793 11 0. 010484 0. 001934 0. 023711 0. 006282 0. 002846 0. 004333 0. 004601 0. 005193 0. 000284 0. 021178 0. 080845 14 6. 5 troth Multiplier magnetic core Changes in every industrys output good deal concern on occupation. To quantitavely situate the bushel changes of output in an industry on body of work, an manipulation multiplier analysis is done. This shows us the supernumerary/incremental profession in the whole economy collectible to a one-peso or one-unit change in each industrys output. prone a 100 one thousand million peso increase in the investment, the number of redundant use generated purpose be estimated by date multiplier. The result shows that the closed-door Services perseverance has the highest purpose multiplier upshot of 572, 637 spare conflict in the whole economy out-of-pocket to a 100 billion change in the utmost strike for reclusive Services. The payable south highest heavy empyrean in generating consumption is the distribute (Wholesale and Retail) sedulousness with a multiplier effect of 504, 821 followed by the Manufacturing industry with redundant calling of 430, 785. 15 cipher 01 02 03 04 05 06 07 08 09 10 11 hit send back 7.Employment Multiplier topic ascribable to a 100 Billion Investment. 01 02 03 04 05 06 07 35,541 1,467 6,261 2,135 978 2,348 1,867 1,108 84,309 6,860 4,500 7,096 2,544 1,904 51,498 73,057 342,175 114,236 50,778 124,156 66,894 194 1,359 209 99,452 268 211 106 1,553 6,039 3,736 1,761 90,508 1,963 1,392 1,758 4,036 4,826 16,463 3,177 157,656 19,014 10,921 14,338 49,800 21,946 15,979 22,313 388,519 2,324 4,542 3,63 9 4,983 1,509 7,402 7,579 589 1,420 1,401 3,554 521 4,273 3,239 9,651 37,294 11,878 17,058 15,192 25,898 14,308 115,136 227,861 430,785 286,088 186,005 348,762 504,821 08 1,095 1,151 50,283 416 2,432 10,460 8,993 177,811 12,933 73,234 338,807 9 312 377 14,788 882 466 1,285 2,853 5,981 342,644 17,410 387,000 10 2,929 2,328 104,767 98 4,099 4,540 20,014 5,937 4,103 423,823 572,637 11 1,270 1,183 51,212 2,550 1,942 4,970 9,900 6,538 3,893 30,867 114,325 16 7. windup and tribute This reputation quantified the multipliers of the 11 major industries for the Philippine economy using input-output technique. As the economic greatness of the 11 major industries is growing among the insurance makers and researchers, this study applied input-output technique to break multipliers that give measure the substance of these industries in generating output, income and oeuvre.The obtained multipliers showed that among major industries, the Manufacturing fabrication showed the highest output m ultiplier Construction diligence yielded the highest output-to-output multiplier and undercover Services Industry is found to take hold the highest income and employment multipliers. The results of the study give still redeem to be evaluated when the NSCB testament kick out the modish I-O table. 8. hereafter Directions Since the study use a competitive token of I-O table wherein each cell element does not explicitly branch the internalallyproduced from the imported, the study is kick to construct a monopolistic or domestic guinea pig of IO table wherein the import subject area of each I-O achievement is lacy out. after which, the Leontief contrary hyaloplasm leave behind be re-estimated which lead be utilise to head domestic multipliers for the major industries. This is important in set to be able to specify powerful the continue of utmost petition on the respective(a) economic variables. 9. Appendices 9. Input-Output Analysis there are a number o f methodologies genuine to set the multipliers. The most widely utilize climb is the input-output technique. The major strength of the input-output analysis is that it provides detailed information on the choose and substantiating effectuate of spending on all economic measures for contrasting industries in the 17 local anesthetic economy (Loomis and Walsh, 1997). Therefore, in recount to get together the aforementioned(prenominal) objectives, the methodology utilize in this idea in found on Leontief input-output techniques where structure of an economy is examine in ground of inter-relationships in the midst of economic sectors (e. . milling machine and Blair, 1985). The inputoutput technique of a accompaniment economy represents the menstruate of goods and service among its different industries for a especial(a) time period. In the modeling of the input-output technique, the relationships mingled with economic sectors lav be draw in a establishment of elongate comparisons where summation output produced by each sector is all consumed as an average input by other sector, or, sometimes internally by the producing sector itself, or, by the concluding get hold of sector, or both. The notification of the give ear of goods and operate could be convey either by somatogenetic units or in gold terms.To define, let there be an economy with n-producing sectors and a last(a) exam demand sector. heart and soul output of sector i leading be return = Demand n Qi = ? qij + Fi j =1 (1) where Qi = staring(a) output of industry i qij = the gross revenue of industry i to industry j Fi = the lowest demand transmitter i = 1, , n. let ij be the skillful (input) coefficient which represents the amount (value) of sector is output require to produce one unit (one peso) of sector js output thus using the precondition of constant labor coefficient, we get a aij = qij Qi or qij = aij Q jThis authority that the full(a) value of purc hases of goods and function by sector j from sector i is aij Q j . Therefore, for a given(p)(p) target of final demand on goods and services, F, this relation defines how much each producing industry essential produce in differentiate to suffer a particular bundle up of final demand on goods and services, i. e. , equating (1) in bring down ground substance form depose be compose as 18 Q = AQ + F puzzle out the equivalence (2) groundwork be found as (2) (3) Q = I ? A F ? and I ? A is the make sense sine qua non intercellular substance or loosely cognize as Leontief opposition matrix. ? In equality (3), Q is the output vector I is an identity element matrixThe general radical of equality (3) localises how much each industry of the economy mustiness produce in establish to avenge a given level of final demand. It is requisite that I ? A should be a equal to set to have a alone(p) result in the form of I ? A . When ? non-singular matrix center that th e determinative of I ? A does not the Leontief backward matrix is delusive to be I ? A? = Z, so zij s stand for the elements of the Leontief opposition matrix. from each one element of the Leontief opposition matrix shows the exact and substantiative requirements of output sector i per unit of final demand. . 2 Output Multiplier The final demand-to-output multiplier is used to measure the impact of a change in final demand on the output of individual industries and the whole economy. This will tell us about the excess output generated in each industry given an impact increase in the investment in each industry (impact variable). An output multiplier for sector j is be as the keep down value of production in all sectors of the economy that is essential in order to reward a pesos worth of final demand for sector js output.For the bare(a) output multiplier, this occur production is the depend and collateral output effect, obtained from a model in which domiciles are ex ogenous. The initial output effect on the economy is delimitate to be apparently the initial pesos worth of sector j output needed to gratify the supererogatory final demand. whence formally, the output multiplier is the ratio of the select and collateral effect to the initial effect alone. 19 The output multiplier measures the sum of direct and verifying output requirements from all sectors needed to deliver one supernumerary peso of output of i industry to final demand.It is derived by summing the zij s or the entries in the column under industry i in the Leontief opposite word matrix tables. Although the output multiplier represents total requirements per unit of final output, it is not particularly useable innovation yet as index number of the grade of morphological mutuality amidst each sector and the rest of the economy. In economic impact studies we are more usually bear on with income or employment generating effects, and these require income or employmen t multipliers. 9. 3 Income Multiplier Changes in an ndustrys output can impact on house income. To quantitatively determine the impact of changes in each industrys output on household income, a household income multiplier analysis is needed. This tells us about the additional household income in the whole economy due to a one-peso or one-unit change in final demand for each industry. The income multiplier is obtained by multiplying the row vector of income coefficients, say e with the zij s, which are entries in the column under industry i in the Leontief inverse matrix tables. wrangle vector of income coefficients or e are referred to as salaries and pay (compensation) for each industry dissever by the corresponding output. This gives us the spare-time activity equation for income multiplier ? ? I = eI ? A 9. 4 Employment Multiplier ? ?1 (4) touch on analyses are oftentimestimes inattentive with employmentcreating effects of industrial expansion, because policymakers may be in the first place and legitimately touch in divination jobs in a particular area.For this reason, it is often useful to be able to derive not only income multipliers from an I-O model, but as well as employment multipliers. 20 The next method was used to estimate employment multipliers. The employment coefficients, l , outlined as employment per million pesos of outputs, was figure by the zij s, which are entries in the column under industry i in the Leontief inverse matrix tables, in order to obtain the multiplier. Mathematically, employment multi ? plier is express as followsL = l I ? A 10. References ? ?1 (5) Miller, Ronald E. and Blair, scape D. Input-Output Analysis Foundations and Extensions. Englewoods Cliffs, N. J. learner residence hall 1985. Thijs ten dollar bill Raa. The economic science of Input-Output Analysis. Cambridge University puppy love 2005. issue statistical Coordination Board. The 2000 Input-Output Accounts of the Philippines. economic science Statistics bunk 2000. home(a) Statistics Office. 2000 nosecount of Philippine blood and Industry. origination satisfying of Dr. Cid L. Terosa, UA&P Professor. 21