Economic Impact Modeling METHODOLOGY
MULTIPLIER IMPACT Estimations of indirect and induced impacts were conducted using the IMPLAN economic model, initially developed for the USDA Forest Service in collaboration with the Federal Emergency Management Agency and the USDA Bureau of Land Management. Originally crafted by MIG, Inc., and now under the mantle of The IMPLAN Group, LLC, the IMPLAN model relies primarily on the US Department of Commerce Input- Output tables, established in the 1970s, as its foundational framework.
Economic impact modeling serves as a crucial tool to assess the ramifications of various economic events, such as businesses or industries, within defined geographies or entities. These impacts can manifest as positive, negative, or as mitigating factors against other impacts, regardless of their nature. Such analyses play a pivotal role for both businesses and governments in decision-making processes concerning new projects, capital investments, historical development effects, and the potential outcomes of proposed business ventures or government initiatives. The primary objective of this project was to delineate employment outcomes, spending effects, and fiscal impacts concerning government-based taxes and expenses incurred or avoided. DIRECT, INDIRECT & INDUCED IMPACT Economic impacts are categorized as direct, indirect, or induced. Direct impacts are readily observable, encompassing elements like payroll, purchases, or taxes paid directly. Indirect impacts stem from the ripple effects on suppliers of goods or services due to increased demand generated by the original capital investment or ongoing business operations under scrutiny. Where direct and indirect positive economic impacts exist, they generate positive wealth effects within the affected communities and industries, propagating induced effects. The comprehensive economic impact analysis amalgamates direct, indirect, and induced impacts into a unified assessment.
24 INDIAN GAMING - ANNUAL REPORT 2024
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