Calculating Single Regional Input-Output Tables by Using a New Combined FLQ-RAS Method and Employment Multipliers; the Case Study of Kohgiluyeh and Boyer-Ahmad Province

Regional Input-Output Tables )RIOTs( are the most important tool for regional planning, but the construction of the survey-based RIOTs can be complex, expensive and time consuming. From the mid of 20th Century to present, many types of non-survey methods were introduced for the estimation of Regional Input-Output Coefficients (RIOCs) and (RIOTs) by regional input-output economists. On one side, there are different kinds of location quotient methods which have focused on estimating RIOCs and balancing RIOTs requires acceptance of 2 types of residuals. The first type is exports of a region to other region and the rest of the world, and the second type is regional sectoral value added. On the other side, there are Commodity Balance (CB) and Cross-Hauling Adjusted Regionalization Method (CHARM) which concentrate on estimating RIOTs and the regional sectoral value added plays a key role in balancing RIOTs. In this paper, we show that sectoral value added in regional accounts of Iran is adjusted involuntary due to using LQ methods for estimation of RIOTs. To tackle this problem, we used new mixed FLQ-RAS method for estimating Kohgiluyeh and Boyer-Ahmad Province’s RIOT in 1390 and calculated the regional and national employment multipliers for 60 economic sectors. The results indicate that there are no similarities between the quantities and ranking of regional employment multipliers and national employment multipliers. This result shows that neglecting the dimensions of space and ignoring regional differences leads to the compilation of the misleading development strategies.