The Army's Local Economic Effects
RAND ARROYO CENTER SANTA MONICA CA SANTA MONICA United States
Pagination or Media Count:
This report presents findings on the economic activity supported by total Army spending in each of the 435 congressional districts in fiscal years 2012-2014. To estimate this activity, researchers used district-level input-outputIO models and a national-level IO model known as IMPLAN. Each district-level model is used to estimate the direct, indirect, and induced effects of national-level Army spending that affects a particular district. In this context, direct effects are the total Army spending within a district indirect and induced effects represent the local economic activity that supports both the direct spending and the in-district demand generated from Army spending outside the district. Indirect effects capture interindustry linkages, while induced effects capture the effects of household incomes. Results are aggregated by state and the economic activity associated with Army spending is separated by component where applicable.
- Military Forces and Organizations
- Economics and Cost Analysis