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The Economic Contribution of Marine Angler Expenditures in the ...

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State-level multiplier effects attributed to anglers’ expenditures were estimated by multiply<strong>in</strong>g<br />

<strong>the</strong> total value <strong>of</strong> each <strong>of</strong> <strong>the</strong> <strong>in</strong>dividual expense items (see Table 4 for list <strong>of</strong> items) that is spent<br />

with<strong>in</strong> a particular state by <strong>the</strong> correspond<strong>in</strong>g IMPLAN-generated multiplier. <strong>The</strong> IMPLAN Pro<br />

multipliers measure <strong>the</strong> total state-level sales, <strong>in</strong>come, value-added, and employment change <strong>in</strong><br />

each economic sector caused by a $1 change <strong>in</strong> output <strong>in</strong> any particular sector. <strong>The</strong>refore, <strong>the</strong><br />

product <strong>of</strong> <strong>the</strong> expenditure values that are spent with<strong>in</strong> a particular state with <strong>the</strong>ir match<strong>in</strong>g<br />

IMPLAN-generated multiplier provides an estimate <strong>of</strong> <strong>the</strong> contribution <strong>of</strong> each particular<br />

expenditure item to <strong>the</strong> state economy.<br />

<strong>Angler</strong> expenditures were allocated to IMPLAN sectors based on <strong>the</strong> sector<strong>in</strong>g scheme shown <strong>in</strong><br />

Table 4. Expenditure categories that <strong>in</strong>cluded more than one IMPLAN sector were not<br />

aggregated to avoid <strong>the</strong> biases associated with aggregat<strong>in</strong>g. Instead, <strong>the</strong> expenditure <strong>in</strong> <strong>the</strong><br />

category was distributed to <strong>in</strong>dividual IMPLAN sectors based on <strong>the</strong> proportion <strong>of</strong> f<strong>in</strong>al demand<br />

<strong>in</strong> each sector <strong>in</strong> each state. While <strong>the</strong> survey asked for total grocery expenditures, <strong>the</strong> typical<br />

grocery or convenience store purchase <strong>in</strong>cludes a wide range <strong>of</strong> products. To allocate generic<br />

grocery expenditures to more accurately reflect <strong>the</strong> mix <strong>of</strong> products purchased, <strong>the</strong> Personal<br />

Consumption Expenditure (PCE) activity data base for grocery store purchases conta<strong>in</strong>ed <strong>in</strong><br />

IMPLAN was used. PCE activity data bases are created by <strong>the</strong> Bureau <strong>of</strong> <strong>Economic</strong> Analysis and<br />

represent national average expenditure patterns.<br />

In IMPLAN, marg<strong>in</strong>s are used to convert <strong>the</strong> retail-level prices paid by anglers <strong>in</strong>to appropriate<br />

producer values. Marg<strong>in</strong>s ensure that correct values are assigned to products as <strong>the</strong>y move from<br />

producers, to wholesalers, through <strong>the</strong> transportation sectors, and f<strong>in</strong>ally on to retail<br />

establishments. Regional purchase coefficients (RPCs) reflect <strong>the</strong> proportion <strong>of</strong> a retail item that<br />

is manufactured with<strong>in</strong> <strong>the</strong> state or region. RPCs were applied to <strong>the</strong> retail expenditure estimates<br />

to <strong>in</strong>sure that imported goods were not <strong>in</strong>cluded <strong>in</strong> <strong>the</strong> impact estimates.<br />

<strong>The</strong> resident status stratification is carried through to <strong>the</strong> impact analysis. Spend<strong>in</strong>g by residents<br />

on mar<strong>in</strong>e recreational fish<strong>in</strong>g generally affects <strong>the</strong> amount <strong>of</strong> money available to be spent on<br />

o<strong>the</strong>r leisure-related activities with<strong>in</strong> a state. A decrease <strong>in</strong> resident angler expenditures may shift<br />

disposable <strong>in</strong>come to o<strong>the</strong>r leisure sectors result<strong>in</strong>g <strong>in</strong> little overall net change to sales, valueadded,<br />

<strong>in</strong>come, employment, and taxes with<strong>in</strong> a state. However, even though <strong>the</strong> overall net<br />

change may approach zero, resident angl<strong>in</strong>g expenditures support jobs that might not o<strong>the</strong>rwise<br />

exist. On <strong>the</strong> o<strong>the</strong>r hand, non-resident angl<strong>in</strong>g expenditures contribute to an overall net <strong>in</strong>crease<br />

<strong>in</strong> economic impacts. To address <strong>the</strong>se differences, separate <strong>in</strong>put-output models were<br />

constructed for residents and non-residents. Multipliers <strong>in</strong> <strong>the</strong> non-resident model are estimated<br />

us<strong>in</strong>g <strong>the</strong> base state data <strong>in</strong> IMPLAN. To avoid double count<strong>in</strong>g <strong>of</strong> resident expenditures, a<br />

separate model was constructed and <strong>the</strong> total value <strong>of</strong> resident expenditures was removed from<br />

<strong>the</strong> f<strong>in</strong>al demand <strong>in</strong> each state before <strong>the</strong> multipliers were generated.<br />

State-level impacts were estimated for sales, value-added, <strong>in</strong>come, employment, and taxes. Sales<br />

reflect total dollar sales generated from expenditures by anglers <strong>in</strong> each state. Value-added<br />

represents <strong>the</strong> contribution recreational angl<strong>in</strong>g makes to gross domestic product. Income<br />

represents wages, salaries, benefits, and proprietary <strong>in</strong>come generated from angler expenditures.<br />

Employment <strong>in</strong>cludes both full-time and part-time workers and is expressed as total jobs.<br />

F<strong>in</strong>ally, taxes denote <strong>the</strong> <strong>in</strong>come received by federal and state/local governments.<br />

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