On the comparative accuracy of RPC estimating techniques

Recall that an RPC (regional purchase coefficient) is commonly defined as the proportion of the regional demand for a good or service that is fulfilled by regional production as opposed to imports from other regions. Accurate estimation of RPCs is thus basic to the specialization of a set of national technological input-output coefficients to a given region. In the next section, the methods for obtaining an observed set of RPCs are discussed. Following that, the RSRI estimation method is compared with the most common alternative methods, both for overall accuracy and for accuracy in predicting large versus small RPCs. Some comments concerning the simple methods and their potential for improvement through easy linear adjustments plus a few concluding remarks complete the paper. -from Authors