Mathematics in Education, Research and Applications (MERAA), 2018(4), 2
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Published online 2018-12-30
DOI:https://doi.org/10.15414/meraa.2018.04.01.49-56
University's ripple effects on local economy: using input-output analysis to estimate multiplier effects
Katarína Melichová, Oľga Roháčiková
Slovak university of Agriculture in Nitra, Nitra, Slovak Republic
Article Fulltext (PDF), pp. 49–59
- Input-output analysis is a method utilizing matrix algebra to quantify interconnections and interdependencies in sectors of national economy.
The technique is largely used to measure impacts of a specific sector on other sectors, impact of investment in a given sector, or modelling policy effects.
With an adequate regionalization, it can be used to estimate local or regional impacts of initial change in flows of local economy. Within this paper, we
use this method to estimate the total multiplier effect of Slovak University of Agriculture in Nitra (SUA) on local economy of city of Nitra. We consider
university's expenditures, as well as expenditures of employees and students. Four types of multipliers were estimated, measuring increase in income, output,
value-added and employment.
- Keywords: university, input-output analysis, multiplier effects, regional multiplier
- JEL Classification: R15, R12, O15