IMPLAN Blog

The foundation upon which IMPLAN economic impact analyses are built is the input-output (I-O) model, and the basis for I-O models are multipliers. Multipliers are rates of change that describe how a given change in a particular industry generates impacts in the overall economy (e.g. for every dollar spent in the economy an additional $0.25 of economic activity is generated locally, implying a multiplier of 1.25). What multipliers represent and how they are calculated can vary significantly. 

If you’re looking to conduct an economic impact analysis study, chances are someone like you has performed and published something similar using IMPLAN. Conversely, if you’re attempting to study something unlike anything else, between IMPLAN’s data, applications, and knowledgeable customer success and education services teams, you have all the tools you need to get started.

Developed by the United States Forest Service (USFS) in conjunction with the Federal Emergency Management Agency (FEMA) over 40 years ago, IMPLAN boasts an unrivaled history of economic expertise. The USFS remains an active user of IMPLAN today along with a multitude of local, state, and federal government entities, a broad range of renowned academics, economic development entities, professional associations, consultants, and the United Nations.

IMPLAN is built on many years of economic data – but how can it help when you’re curious about the economic impacts of an industry without a documented history to examine?

Emerging industries, such as legalized cannabis, are reshaping local economies and generating ripple effects that influence job creation, tax revenues, and broader economic landscapes. For policymakers, business leaders, and researchers, understanding these impacts is essential for making informed decisions. IMPLAN, a robust economic impact analysis tool, is particularly suited for analyzing emerging industries due to its flexibility, data granularity, and customization capabilities.

Let’s take a look at how IMPLAN can be employed to measure the economic impacts of new industries.

Periods of financial uncertainty—whether due to budget negotiations, policy shifts, or economic downturns—can have widespread implications across industries, public services, and local economies. When government funding is delayed or reduced, the ripple effects can be felt far beyond the initial disruption, impacting employment, wages, and economic growth.

If you review the results of an IMPLAN economic impact study, you will not find GDP listed in the results. Naturally the question arises, "What is the GDP?" Within IMPLAN results, that value is actually demonstrated in multiple ways. 

Gross Domestic Product (GDP) is defined as the total market value of all final goods and services produced within a region in a given period of time (usually a quarter or year). GDP is the sum of value added at every stage of production (the intermediate stages) for all final goods and services produced within a region in a given period of time. In other words, GDP is the wealth created by industry activity.

As the 2024 election looms, one of the most debated policy proposals is the "No Tax on Tips" plan championed by former President Donald Trump and Vice President Kamala Harris. This initiative, which aims to eliminate federal income tax on tip income, is designed to bolster the take-home pay of millions of American workers in the service industry. While the plan promises immediate benefits for tipped workers, its broader economic implications raise questions about long-term impacts on the U.S. economy. 

The recent California wildfires have wreaked havoc across greater Los Angeles, threatening lives, homes, and businesses. But the ramifications of these wildfires extend far beyond visible destruction. In this follow-up to our earlier exploration of wildfires’ economic impacts, we dive into the findings of an Impact Analysis conducted on crop production in the affected areas. The results shed light on the profound consequences for California’s economy and the nation’s food supply.

Data season is here! At IMPLAN, we mark the holiday season with our annual data release. That means 2023 data has arrived in IMPLAN Cloud.

Each year, IMPLAN’s economists work diligently to compile the latest data from a wide range of sources, fill in gaps in the raw data, balance the data across all geographic levels, and more, empowering users to make their analyses more accurate and timely.

We’re thrilled to announce the latest additions to IMPLAN’s Quick Start Guides: the University Impacts Guide and the Simplified Tourism Impacts Guide. Like our other Quick Start Guides, these new guides are designed to make economic analysis accessible to everyone, regardless of their background in economics. By following a series of on-screen prompts, users can easily analyze the impacts of various economic events and projects.

Wildfires are devastating for communities, ecosystems, and the economy. They lead to significant property losses, industry disruptions, and income reductions. However, the aftermath of these natural disasters also triggers substantial economic activity, particularly through rebuilding efforts and support systems. This dual nature of impact—both negative and positive—on the economy has been highlighted in a recent analysis using IMPLAN data.