On Mon, 13 May 1996, Michael Williams wrote:
> Allin, could you just confirm how the labour content of the output of each
> industry is calculated.
1. Wage payments on the part of each industry are taken as a proxy for
the direct labour-hours worked in the industry (with or without a
'correction' for inter-industry wage differentials -- it doesn't seem
to make a very big difference).
2. The direct-plus-indirect labour content is then calculated in
the usual way: by an iterative approximation to the Leontief inverse.
Allin.