LQ & Shift-Share Memo
gyreddy22
LQShift-ShareFormula.xlsxLocation Quotient
| Location Quotients Formula | |||
| Employment | |||
| 2019 | Industry Share | Location Quotient | |
| County 3-digit NAICS | |||
| Industry X | 1,000 | 2.0% | 4.80 |
| Industry Y | 200 | 0.4% | 0.60 |
| Total Employment All Industries | 50,000 | ||
| US 3-digit NAICS | |||
| Industry X | 500,000 | 0.4% | |
| Industry Y | 800,000 | 0.7% | |
| Total Emoloyment All Industries | 120,000,000 |
Shift-Share
| Shift-Share Formula | ||||||||||
| National Growth Effect | Industry Mix Effect | Regional Competitive Effect | ||||||||
| Employment 2012 | Employment 2019 | Total Employment Change 2012-2019 | % Change 2012-2019 | Employment Change | % of Total Change 2012-2019 | Employment Change | % of Total Change 2012-2019 | Regional Competitive Effect | % of Change 2012-2019 | |
| County 3-digit NAICS | ||||||||||
| Industry X | 1,000 | 1,500 | 500 | 50% | 200 | 40% | 133 | 27% | 167 | 33% |
| Industry Y | 400 | 200 | (200) | -50% | 80 | -40% | (70) | 35% | (210) | 105% |
| Total Employment All Industries | 40,000 | 50,000 | 10,000 | 25% | ||||||
| US 3-digit NAICS | ||||||||||
| Industry X | 450,000 | 600,000 | 150,000 | 33% | 13% | |||||
| Industry Y | 780,000 | 800,000 | 20,000 | 3% | -17% | |||||
| Total Emoloyment All Industries | 100,000,000 | 120,000,000 | 20,000,000 | 20% | ||||||
