Using the data provided, compute the location quotient for each industry in King County, Washington.

HW:4 FIN437 REAL ESTATE DEVELOPMENT

King County, WA United States
  2016 2016
Agriculture, forestry, fishing and hunting 3,055 916,300
Mining, quarrying, and oil and gas extraction 2,476 1,416,500
Utilities 1,557 605,300
Construction 84,999 10,096,300
Manufacturing 111,454 13,103,700
Wholesale trade 72,408 6,935,800
Retail trade 161,916 19,390,100
Transportation and warehousing 70,436 7,169,400
Information 102,763 3,357,900
Finance and insurance 70,930 9,871,600
Real estate and rental and leasing 86,959 8,983,500
Professional, scientific, and technical services 180,099 13,712,200
Management of companies and enterprises 33,309 2,499,300
Administrative and support and waste management and remediation services 86,565 11,877,800
Educational services 40,044 4,716,600
Health care and social assistance 168,317 21,944,300
Arts, entertainment, and recreation 46,878 4,323,300
Accommodation and food services 117,856 14,415,800
Other services (except public administration) 81,422 11,388,700
Federal government civilian 20,340 2,852,000
Military 7,345 1,927,000
State and local government 157,642 19,521,000
  1. Using the data provided, compute the location quotient for each industry in King County, Washington.
  2. Compute the basic employment for each industry as follows:
  • If LQ < 1 then the basic employment is 0
  • If LQ >1 then the basic employment = [(LQ-1)/LQ] x Industry Employment in 2016
  1. What industries are the most important for this local economy?
  2. Calculate the employment multiplier for this local economy.View keyboard shortcuts