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Projections Dataset and Methodology

Population and Employment Projection Dataset and ... - FAMPO

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Exhibit 1: Percent Share of Commuters Traveling to Washington DC (2010)<br />

% Share of Commuters to Washington DC (2010)<br />

Caroline County 3%<br />

Fredericksburg City 7%<br />

King George County 8%<br />

Spotsylvania County 8%<br />

Stafford County 11%<br />

Total 9%<br />

Miller (2011) does not provide any justification for using EMSI forecasts or its validity; <strong>and</strong> does not<br />

substantially refute the VEC forecasts. Without such an analysis it is unclear why a blended forecast<br />

(one that averages EMSI <strong>and</strong> VEC forecasts) is recommended.<br />

VEC: VEC forecast documentation, model, or supporting spreadsheets were not available for evaluation. The<br />

information on VEC forecasts were obtained from Miller (2011) <strong>and</strong> VEC website. Some key characteristics of the<br />

forecasts are discussed below.<br />

The VEC forecasts pivot off 2000 US Census Bureau data.<br />

Original forecast covers three forecast periods 2010, 2020, <strong>and</strong> 2030.<br />

Miller (2011) extrapolates the VEC forecasts to obtain 2040 forecasts (using historical shares as proxies).<br />

VEC will be updated their population projections in 2012 to reflect the 2010 Census counts, but this was<br />

long after the deadline required for projections in the FAMPO 2040 Long Range Plan Update. Newer<br />

VEC forecasts will be used by FAMPO going forward.<br />

The cohort-component method is used for population forecasting (i.e., use a combination of birth rates,<br />

death rates <strong>and</strong> migration to forecast population).<br />

The survival rates (birth rates minus death rates) are state specific.<br />

Migration rates are locality specific (i.e., varies by county).<br />

Woods & Poole: these economic <strong>and</strong> demographic forecasts are developed by Woods & Poole Economics Inc., a<br />

firm that specializes in long term county economic <strong>and</strong> demographic projections. W&P provides detailed<br />

documentation on it forecasting methodology, which is the primary source used to evaluate its suitability for use in<br />

the LRTP. Some key characteristics of the forecasts are highlighted below.<br />

Population forecasts are available at the county level for years 2010, 2020, 2030, <strong>and</strong> 2040.<br />

Unlike EMSI <strong>and</strong> VEC forecasts, the W&P forecasts could be used in the LRTP without any<br />

extrapolations.<br />

The cohort-component method is used for population forecasting (i.e., use a combination of birth rates,<br />

death rates <strong>and</strong> migration to forecast population).<br />

In the W&P model population migration is a function of employment opportunities, <strong>and</strong> as such reflects<br />

the economic growth potential of a region.<br />

W&P does simultaneous projections for each county in the US. Such a comprehensive modeling<br />

methodology minimizes the error of regional models where growth/declines in external regions are not<br />

considered.<br />

W&P methodology is tied to the Bureau of Labor Statistics employment methodology, which makes it<br />

more intuitive for practitioners to underst<strong>and</strong>.

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