Sector Product Prices Change Product Prices In Other Sectors

"Input-output analysis" also known as sectoral linkages balance method, which was first raised by the American economist·Leontief (Wassily Leontief) proposed in the 20th century to the 1930s ,to seeks to explore and explain the structure and operation of the national economy. In 1936,Leontief published the first Input-Output Analysis paper "the number of input-output system of the United States economic relations", marked the birth of the input-output analysis. For the next 70 years, the input-output technology has developed tremendously and it has become an important tool for the analysis of the contemporary economy.In this paper,we pay our attention on studying the change of price of the other sector product by the change of price of the sector product,and give us the change of price of the other sector product. We study the change of price of the other sector product by analysising the impacts of the change of price of the sector product.In this paper,we major consider the following impacts of the change of price of the sector product:(1)the change of wages of the unit of sector product;(2)the change of taxes of the unit of the sector product;(3)one or several sectors improve the production technology,make the cost of producing the sector product droping;(4)consider all of the impacts above.By analysising the impacts,we can get the change of price of the other sector product.This paper is divided into four chapters.ChapterⅠis an introduction, and an account of the birth and development of the input-output method and its significance and role is given.This chapter also gives a brief introduction to the main structure and content.ChapterⅡgave an analysis of the input-output theory, the application of latest developments and prospects and analysis,it is the theoretical foundation behind the chapter. ChapterⅢis the main content of this paper.In this chapter,we first consider the impact of the change of wages of the unit of the sector product;then we consider the impact of the change of taxes of the unit of the sector product;and then we conside one or several sectors improving the production technology;at last we consider all of the impacts above.ChapterⅣis the conclusion of this paper.