From a direct increase in output of $45 million, it is estimated that the demand for intermediate goods and services would rise by $43.560 million. This represents a Type 1 Output multiplier of 1.
968. These industrial effects include multiple rounds of flow-on effects, as servicing sectors increase their own output and demand for local goods and services in response to the direct change to the economy.The increases in direct and indirect output would typically correspond to the creation of jobs in the economy. Corresponding to this change in employment would be an increase in the total of wages and salaries paid to employees. A proportion of these wages and salaries are typically spent on consumption and a proportion of this expenditure is captured in the local economy.
The consumption effects under this scenario are estimated at $9.125 million. Total output, including all direct, industrial and consumption effects is estimated to increase by up to $98,820 million. This represents a Type 2 Output multiplier of 2.196.