An exploratory analysis of linkage change within two regional industries

Le Heron R. B. and Schmidt C. G. (1976). An explanatory analysis of linkage change within two regional industries. Reg. Studies 10, 465–478. This paper discusses a number of issues related to the economic and geographic components of input-output linkage changes at the plant level. Emphasis is placed on defining the economic and geographic dimensions of linkage change, and outlining the conceptual and empirical issue associated with such analyses. Selected aspects of linkage adjustment are investigated through an analysis of 32 plywood-veneer and 20 iron-steel mills in the Pacific Northwest region of the United States. The productive status and growth characteristics of the mills is employed as a framework for investigating volume and non-volume linkage changes. Various relationships between productivity, growth, and linkage adjustments are identified and discussed. The implications of the research findings for regional growth theory and planning policies are also considered.