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Ghosh Supply-Driven Model

The Ghosh model is the supply-side counterpart to the Leontief demand-driven input-output system, introduced by Ambica Ghosh in 1958. Rather than fixing the recipe of inputs per unit of output, it fixes allocation coefficients — the share of each sector's output sold to every downstream buyer — and asks how a change in the supply of primary inputs (value added) propagates forward to total output. Solving x' = x'B + w' gives x' = w'(I − B)^{-1}, where the Ghosh inverse G = (I − B)^{-1} plays the forward-looking role that the Leontief inverse plays for demand.

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Ghosh Supply-Driven Input-Output Model (Allocation Coefficients)

Taxonomisk metodpost · process-pipeline / economics

Ghosh, A. (1958). Input-output approach in an allocation system. Economica, 25(97), 58–64. · DOI 10.2307/2550694
Miller, R. E., & Blair, P. D. (2009). Input-Output Analysis: Foundations and Extensions (2nd ed.). Cambridge University Press. · ISBN 9780521739023

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