THE COMPILATION OF CHINA'S INTERREGIONAL INPUT-OUTPUT MODEL 2002

The increasing economic interaction among various regions in China makes the construction of an interregional input-output table relevant for economic studies. This paper elaborates the model compilation procedure of the China Interregional Input-output model 2002. The key features of the model compilation include: (1) using representative commodities to estimate the interregional commodity flows of the primary industries; (2) adopting functions to estimate the decreasing interregional transportation of manufacturing sectors in relation to distance and (3) selecting appropriate indicators to estimate the interregional commodity flows of non-material sectors. This study is an initial attempt in interregional input-output modelling and might be helpful for economic studies at the levels of micro-regions.