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The Economic Importance Of Marine Angler Expenditures In

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information on the types of camping equipment items<br />

purchased by anglers precluded the ability to distinguish<br />

among manufacturers. 4 For more information<br />

about the potential biases associated with aggregation,<br />

readers are referred to the IMPLAN Professional User’s<br />

Guide (Minnesota IMPLAN Group, <strong>In</strong>c., 1997).<br />

Grocery store purchases by anglers were distributed to<br />

IMPLAN sectors according to the Bureau of <strong>Economic</strong><br />

Analysis’ 1998 national average expenditure pattern for<br />

food purchased for off-premise consumption (i.e., groceries).<br />

This expenditure pattern consists of approximately<br />

50 food processing and agricultural producing<br />

sectors that represent the average grocery list.<br />

State-level impacts were estimated for sales, income,<br />

employment, and taxes. Sales reflect total dollar sales<br />

generated from expenditures by anglers in each state.<br />

<strong>In</strong>come represents wages, salaries, benefits, and proprietary<br />

income generated from angler expenditures.<br />

Employment includes both full-time and part-time<br />

workers and is expressed as total jobs. Finally, taxes<br />

denote the income received by federal and state/local<br />

governments.<br />

Although direct, indirect, and induced effects associated<br />

with angler expenditures were estimated for<br />

non-residents and residents in each state, spending by<br />

resident anglers on any recreation-related activity, such<br />

as fishing, is internalized in an input-output model.<br />

<strong>The</strong>refore, resident expenditures for fishing were removed<br />

from the state-level models prior to constructing<br />

multipliers, to avoid overestimating impacts. This<br />

technique enabled the contribution of angler expenditures<br />

by residents to be modeled in the same manner<br />

as non-residents.<br />

<strong>Economic</strong> impact results<br />

<strong>The</strong> economic impacts of anglers’ expenditures are presented<br />

in three separate regional sections and a section<br />

for the entire U.S. <strong>In</strong> each regional section, the findings<br />

are presented by state and aggregate impacts across<br />

regions are provided in the U.S. section. For each state,<br />

there are six tables of data. <strong>The</strong> first table summarizes<br />

the total economic impacts attributable to recreational<br />

fishing by resident status, and indicates the direct,<br />

indirect, and induced impacts on sales, income, and<br />

employment for resident and non-resident anglers.<br />

<strong>The</strong> second, third, and fourth tables separately detail<br />

the impacts on sales, income, and employment,<br />

4 Another option would have been to apportion anglers’ expenditures<br />

to each of the disaggregated IMPLAN sectors according to the<br />

shares of total production. However, this procedure would also have<br />

introduced measurement error if the output shares were not directly<br />

commensurate with the types of items purchased by anglers.<br />

4<br />

respectively. Each of these tables distinguishes between<br />

impacts generated from trip expenditures and those<br />

generated from equipment and durable purchases. <strong>In</strong><br />

the fifth table, the total economic impacts generated<br />

from saltwater fishing trip expenditures by mode and<br />

resident type are summarized. This table excludes the<br />

impacts of fishing equipment purchases and other durable<br />

items that could be used for multiple trips since<br />

these could not be linked to a particular mode of fishing.<br />

<strong>The</strong> final table for each state shows the estimated<br />

revenue received by federal and state/local governments<br />

from angler purchases. <strong>The</strong>se estimates are based<br />

on data available in IMPLAN’s social accounting matrix,<br />

which tracks monetary flows between industries and<br />

institutions (e.g., households, government, investment,<br />

and trade). <strong>The</strong> rows of the table depict the types of<br />

tax payments and the institutions (corporations, federal<br />

government, state/local government) that receive<br />

them, while the columns represent the different institutions<br />

making each type of tax payment. Employee compensation,<br />

enterprise, and indirect business taxes are<br />

paid by businesses, while taxes on proprietary income<br />

and household expenditures are paid by individuals.<br />

<strong>The</strong> total amount of taxes paid must equal the total<br />

amount of taxes received for each state. Public officials<br />

and other interested readers concerned with the appropriate<br />

interpretation and use of these estimates are<br />

encouraged to review IMPLAN’s method for producing<br />

tax estimates in Olson 5 .<br />

Northeast Region results<br />

Resident impacts were higher than those of non-residents<br />

in all of the coastal states. <strong>In</strong> fact, the impacts of<br />

expenditures by residents were approximately two to<br />

five times greater than their non-resident counterparts.<br />

<strong>In</strong> Massachusetts for example (Table 26), the $420.6<br />

million in retail purchases by resident anglers in 1998 6<br />

generated a total of $297.5 million in sales as follows:<br />

$191.8 million in sales for the direct sectors in Massachusetts<br />

($105.7 million was transferred to out-of-state<br />

producers of goods and services purchased in Massachusetts),<br />

$40.9 million in sales for the indirect sectors,<br />

5 Olson, D. C. 1999. Using social accounts to estimate tax impacts. Paper<br />

presented at the Mid-Continent Regional Science Association<br />

Meeting. Minneapolis. Minnesota IMPLAN Group, <strong>In</strong>c. 1725 Tower<br />

Dr. W., Suite 140, Stillwater, MN 55082.<br />

6 Total expenditures by resident anglers in Massachusetts in 1998<br />

approached $781 million in Steinback and Gentner (2001). However,<br />

that estimate of expenditures did not distinguish between purchases<br />

made at the retail level and those made through householdto-household<br />

sales. Household-to-household sales of merchandise<br />

are considered transfer payments from one household to another<br />

and generate no economic impacts. <strong>The</strong>refore, in this paper, we<br />

removed those household-to-household sales associated with used<br />

boats and vehicles prior to generating economic impacts.

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