Date of Award

5-2019

Degree Type

Report

Degree Name

Master of Science (MS)

Department

Applied Economics

First Advisor

Man-Keun Kim

Second Advisor

Ruby Ward

Third Advisor

Sherzhod Akhundjanov

Abstract

When a subnational input-output matrix is unavailable, a non-governmental organization (NGO) may turn to a shortcut method in order to project its indirect economic impact in a region. The location quotient is the most common choice in developed nations, but has serious theoretical flaws in a developing-nation context. We explore the minimum requirements method as a cost-effective yet robust method to project the impact of an NGO in the Imbabura province of Ecuador. We find that every $1 of exogenous local spending stimulates between $1.32 and $1.62 of indirect economic impact in the region.

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