Input-Output Models and Derived Indicators: A Critical Review


  • Argyrios D. Kolokontes
  • Achilleas Kontogeorgos
  • Efstratios Loizou
  • Fotios Chatzitheodoridis



Leontief’s and Ghosh’s models, initial effects, linkages’ indices, multipliers, elasticities, size-indicators


Input-Output literature can be characterized as complicated and chaotic. The complications concern the nomenclature of concepts for the derived indices from the multipliers’ models, their mathematical expressions and computable applications. The terminologies’ inconsistencies often end up to a deviation between the description for these indices and their actual computation, or/and to a misunderstanding as for their usefulness and outcomes. The aim of the paper is to help the readers to face the weaknesses in the literature. In this way, the paper provide an overview with a critical look to the constructed multipliers’ matrices and their derived indicators from the I-O models, and elaborate the causes for the scrutinized confusions. The paper proposes both terminological and computational adjustments and differentiated approaches for the models and their indices, in order to ameliorate their capabilities and to exploit their peculiarities for the developmental patterns. Alternative interpretative ways and applicable expansions are suggested.

JEL Codes - C18, C31, C67, F43, O21


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How to Cite

D. Kolokontes, A., Kontogeorgos, A., Loizou, E., & Chatzitheodoridis, F. (2019). Input-Output Models and Derived Indicators: A Critical Review. Scientific Annals of Economics and Business, 66(3), 267 –.