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Multiplier

A multiplier is a way of measuring how important one industry is to other industries in the region. So if an industry has a multiplier of 2.5, for every positive or negative change on that industry, the total effect on the regional economy will be 2.5 times the original change. Emsi’s multipliers are developed in-house through our proprietary Input-Output model, which uses Emsi’s final unsuppressed industry data, gravitational flows, commuting patterns, and the BEA’s “make and use” tables, among other sources.

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