Changes in U.S. Distribution System Output,1947-1977: The Effects of Changes in Structure and Final Demand

Abstract

The separate effects of change in structure and final demand upon distribution's output are isolated and measured. Two dimensions of change in final demand, change in level and change in composition, are identified; these effects on distribution's output are isolated and measured. Changes in both the level and the composition of final demand increase wholesaling output, but they have conflicting effects on retailing's output. While changes in final demand tend to increase distribution's output, changes in the interindustry structure simultaneously reduce output. Interaction effects further complicate the observed relationships between the distributive sector and its environments. The measurements are derived from trade flow tables for 1947 and 1977.

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