An economy is comprised of a variety of industries or sectors.  Changes in one industry or sector will affect a multitude of other sectors and ultimately the entire economy.  The impact of particular industries or economic sectors within an economy can be estimated using models such as IMPLAN, an economic impact planning tool first devised by USDA's Forest Service in the 1970's.

Economic Impact Analysis Reveals the Ripples

 New ventures in coal and electricity production in a multi-county region of southeastern Ohio would generate increased economic output, labor income, and employment.  These new ventures in coal and electricity production would inject dollars into the regional economy.  Further, a portion of the spending associated with the new ventures would circulate and re-circulate in the regional economy, creating new jobs and income.

What would be the impact of a new coal mining operation in a rural county of Ohio?

Using Input/Output modeling it is estimated one new coal mining operation would contribute over $58 million annually, and support 173 new positions in the region.  Aside from employment increases in the mining sector (96); retail trade and health & social services (13 each), and employment in accommodations & food services places (9) would increase most.

What would be the impact of a new coal-fired powerplant in a rural county of Ohio?

Using Input/Output modeling it is estimated one new coal-fired powerplant would contribute $390 million, and support 751 positions in the region over a 4 year construction period.  Aside from gains in construction employment (564); retail trade (40), health & social services (35), and employment in accommodations & food services places (25) would report the largest gains during the 4 year construction period. Operation of a new coal-fired powerplant would contribute roughly $100 million annually, and create 267 new positions in the region.  The largest gains:  the utility sector employment would increase by 104 positions, mining would gain 33 positions, health & social services (21), and employment in accommodations & food services places (21).

The preceding examples are shared to illustrate the ripples that are apparent within an economy.  Realize these are examples only.  Because of the variety of economic conditions and situations, the results below should not be generalized to other situations.

To view a sample study report, click here. 

OSU's Economic Impact Analysis program helps communities estimate the economic value of its health care industry, a military base, or a new coal-fired powerplant, for example.  To learn more about how this program can help your community estimate the economic value of potential future or existing components, contact