multiregional econometric forecasting system: a model for the Delaware Valley

Extract: In this paper, we have presented an outline of a regional econometric model. the model's significant contribution is its disaggregation of regional economic activity (in this case, three SMSA's) into individual county (here, twelve counties) components. this work serves as a bridge between standard regional econometric models which treat regions as points in space, and traditional land use models which allocate economic activity to spatial zones. the former have been useful for predicting economic and demographic variables for large regions (usually states) but have had nothing to say about subregional activity; the latter have no way for forecasting control totals for the variables which they allocate. the Delaware Valley Model speaks to the deficiencies of both model types.