The Role of Steel in the US Economy: Decomposing the 1982-1997 Forward and Backward Linkages of the Steel Industry
This paper queries the benchmark input-output tables of the United States for 1982, 1987, 1992, and 1997 to examine both the industries that provide goods and services to the steel industry and the destination of steel products to other industries and final goods. This study provides a sense of how the industry changed over the 1982-1997 period and will aid in evaluation of new technology adoption by linking steel products to final consumers. Input-output analysis incorporates the ideas of interdependency, feedbacks, and general equilibrium into a single format. The Bureau of Economic Analysis (BEA) of the Department of Commerce prepares the official input-output tables for the United States every five years. The most recent table currently available is the 1997 table, released in 2002. It provides a snapshot of all transactions in 1997 at a given point in time, including sales of products to each industry (intermediate demand) as well as sales of products to final users (final demand). Fully disaggregated, the US input-output table specifies nearly 500 industries, and shows the distributions of inputs purchased from each and outputs sold to each. This makes a robust database for viewing detailed snapshots of the forward and backward linkages affecting the steel industry. The steel industry is one of the major producers of raw materials for industry and construction. Value of shipments in 2000 for the steel industry totaled over $70 billion. This paper highlights the interdependency of the various steel-using industries of the economy. It shows the downstream use by industry of steel as a commodity. It shows the response in the use of steel to industry-specific shocks to national final demand. It also documents the steel intensity of other industry sectors in the economy. The paper builds on the benchmark input-output tables to develop economic impact models. These models permit the examination of impacts on industrial output, employment, income, and other measures resulting from changes in steel final demand. Additionally, the paper explores the impacts on the steel industry of demand changes in all other industries taken individually.
- Research Organization:
- Pacific Northwest National Lab. (PNNL), Richland, WA (United States)
- Sponsoring Organization:
- USDOE
- DOE Contract Number:
- AC05-76RL01830
- OSTI ID:
- 15010532
- Report Number(s):
- PNNL-SA-38223; 820201000
- Resource Relation:
- Conference: 2003 ACEEE Summer Study on Energy Efficiency in Industry, 6-13 - 6-23; ACEEE,Rye,,United States.
- Country of Publication:
- United States
- Language:
- English
Similar Records
Economic impacts of changes in automotive materials use
Linear economic model of fuel and energy use in the United States. Volume I. Model description and results. Final report