Input output modelling

Input Output modelling is a recognised way of evaluating economic impact. The method is often used to estimate the impact of the current and proposed activities of organisations. It is a useful way of capturing the economic footprint of spending at a point in time.

Input Output models work by capturing the direct and indirect effects of expenditure in the economy by accounting for the linkages between different industries in the economy. For each industry in the economy, the Input Output table traces the industries it purchases inputs from and the industries to which it sells its outputs. These linkages are used to estimate the multiplier effect of expenditure.

ACIL Allen develops customised Input Output models to estimate economic impacts at a local, regional, state and/or national level. Results are reported in terms of:

  • the contribution to the value of the economy expressed in terms of Gross Product
  • employment creation
  • the contribution to real income.

ACIL Allen has used these models for a range of sectors to estimate:

Our clients include the government sector and private sector clients in the resources, tourism, sport and recreation, infrastructure, and transport sectors.