Direct requirement coefficients are inputs as a proportion of the output of the purchasing industry. It is usually expressed as aij, the input requirement of commodity i by producing one dollar output by industry j. Indirect requirement coefficients are additional input requirements that are necessary to fulfill the need to produce one dollar of an industry output. For more discussion of this topic, see any input-output text book. We recommend Miller and Blair, Input-Output Analysis: Foundations and Extensions (1985).
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