Table 7. Total Requirement Coefficients (Direct Allocation of Imports)
This table shows values in a particular column representing the total input requirements of Australian production from each industry represented by a row, by the industry represented by that column when the Australian output of the industry increases by $100.
A row or column in this table represents an industry group.
The values in Table 6 represent the direct requirements coefficients for each industry when its output is increased by $100. When an industry increases its output, apart from the direct requirements from the industries, there are also indirect requirements from the industries. The values in Table 7 represent the total requirements (i.e. initial + direct + indirect requirements) from all the industries when each industry's output is increased by $100. Another important difference between Tables 6 and 7 is that Table 7 is a square matrix whereas Table 6 is not. Because the initial effect is $100 for each industry, the total requirements coefficients in the top left to bottom right diagonal of this square table will be greater than or equal to 100.
For example the column representing the industry Other agriculture shows that the total requirements by this industry from the Sheep, grains, beef and dairy cattle industry is $2.29 of output, $1.01 of output is required from the Poultry and other Livestock industry and so on in order to increase its output by $100.