Designing Of 1997-2002 And 2002-2007 Chinese Incremental Input-Output Table And Calculating Of The Contribution Of Soft-Input

Input-output reflects the balance between the input of raw materials and output of products in national economic sectors. Input-output analysis is a modern management method that applys mathematical methods and computer technology to investigate the balance relations between the various departments. Input-output analysis is achieved by designing the input-output table. Input-output table is comprised by the crossing of input table and output table. The former reflects the value of various products, including consumption of materials, labor compensation and surplus products; the latter reflecting the distribution and the use of various products. Based on the input-output table, the corresponding mathematical model can be established. For example, the product balance model, the value composition models for economic analysis, policy simulation, program verification and economic forecasts. Incremental input-output model is based on the incremental input-output table. Incremental table is obtained by subtraction between the base period and the report period input-output table (already converted into comparable prices or constant prices). Social workers and people engaged in production activities provide all the conditions, referred to as input, the general input. Divided into two broad categories, the material form, known as the laborers, the object of labor and tools of labor, these inputs is called hard-put. The other inputs do not have physical form, called soft inputs. the size of contribution of the soft input in incremental output marks the level of efficiency. Soft combination of inputs is a vector, so its values can be positive or negative. The negative value represents the inefficiency of investment, bringing the potential loss of output. Interpretation of results must be built on the basic economic theory and the actual development of related industries, sometimes negative value is rusult by many reasons. Among which, the accuracy of the data has a direct impact on the measurement results, so this paper gives attention to this point. those industries of negative contribution of the soft input should improve the quality of the soft combination of inputs, bringing the soft input into its full play to enhance economic efficiency. According to the calculating model of soft-input contribution, the size of contribution of the soft input in incremental output is estimated, through the change between the two-stage soft-input counterparts and the overall change in the contribution of the soft combination of inputs, analyzing the change of the quality of soft-input in industrial sectors, and according to this, the corresponding recommendations are given.