Full report - Conservation Gateway

Chapter 13 - Human UsesCould we illustrate it spatially?While it is possible to extract geographic locations basedon respondent affiliation, a spatial illustration would beof low utility. In addition, respondents were answeringeach question through a regional lens, rather than throughtheir individual state or town.LimitationsSurvey respondents were identified by Conservancy staffwho sought to achieve balanced representation from stateand federal agencies, universities and research organizations,non-profit and conservation organizations andmaritime industry groups (commercial fishermen and/ormembers of fisheries related associations or trade groups).Industry groups were underrepresented but a large comprehensivesurvey of all identified stakeholders was notfeasible given time and budget constraints.Input-Output Economic ModelThe Conservancy contracted with the Woods HoleOceanographic Institution’s Marine Policy Center toproduce a “Regional Economic Analysis of the NorthwestAtlantic Marine Eco-Region”, completed in August 2008.This analysis utilized the IMPLAN Input-Output Modelto assess the impact of the coastal and marine economy inthe Northwest Atlantic region. Some of the key findingsfrom the report are reproduced or summarized below;please refer to Appendix 13-2 for the full report, glossaryof terms, IMPLAN tables and NAICS Industry Codes.What did we measure?The analysis was based on an economic input-output (IO)model of an economy comprising the coastal countiesfrom Maine to North Carolina. Primary and secondaryindustry sectors that depend on the ocean were identified,and the economic significance of those sectors tothe regional economy was assessed. The model measuredthe value of industries in coastal and marine economiesfor 2006, the most recent year of available coastal countydata. The model also measures the contribution of thosesectors to state and region (dollar values generated andnumbers of employees generated). While this analysis didnot include data from a time series, the authors describedtrends by comparing results of the 2006 model to thosefrom a similar study completed in 1995.How did we measure it?The Input–Output model was developed using the industrystandard software, Impact Analysis for PlanningSoftware (IMPLAN). IMPLAN is a commercially availableinput-output model (IO) which is widely used tocharacterize a snapshot of the linkages between differentindustrial sectors in an economy. It is constructed of linearalgebraic equations that describe how the products of setsof industries are used in the manufacture of other goods,to satisfy consumer demands and to supply export markets.Specific industrial sectors (labeled as “ocean sectors”)were identified that depend upon the ocean as a sourceof natural resources, as a sink for wastes or nutrients, fortransportation, or as an aesthetic resource. The IO modelyields estimates of direct output and labor impacts (i.e.,sales revenues and employment) from the ocean sectors,and indirect and induced impacts, which are summarizedin the form of economic “multipliers.” These multipliersare a measure of the connectedness of an industrial sectorto the rest of the relevant economy. Changes in the productionof goods in an industry will affect other sectors towhich it is linked, either through changes in the purchaseof goods from those sectors or through changes in the saleof its products to other industries or consumers.Once constructed, an IO model yields information aboutdirect, indirect, and induced output and labor impacts andvalue-added. Value-added is a measure of the net value(roughly the value of labor or total wages) created whenproducts are purchased from some industries and combinedusing a technology and labor into another productin the economy. Importantly, value-added is the measureused to construct estimates of gross domestic product(GDP), and estimates of value added from the NorthwestAtlantic coastal county model can be used to measure thecontribution of that economy to the regional or nationaleconomy. Please see Appendix 13-2 for a full description ofmethods.3-4Northwest Atlantic Marine Ecoregional Assessment • Phase 1 Report