jrissman
commented
4 years ago From commit e430461:
Partition labor, foreign entities, and government shares of nonenergy industry revenue on Cumulators sheet, after summing across sectors. Partition labor (and taxes on labor) shares of energy industry revenue similarly. We continue to handle most fuel taxes within the sectors and to handle foreign entities' share of energy industry revenue in energy import/export code on the Fuels sheet. Note that this commit is an intermediate stage of model development that requires updates to the IO Model and to the Cost Outputs calculations.
Currently, in the EPS, we separate out changes in payments to labor and changes in taxes paid (such as sales taxes on goods sold) in each sector, using simple variables like the marginal worker income tax rate and the share of certain expenses that is labor. We could possibly do this more accurately by using the share of output that is tax and the share of output that is labor from the ISIC code tables. Taxes is the trickier of the two, because we have many policies that influence tax rates and tax amounts (even when the rate is staying the same, such as a policy that changes the number of vehicles sold, even if the tax rate on each vehicle is unchanged). It would be cleaner structurally and more accurate to allocate all changes in spending to specific ISIC codes, then separate out labor and possibly taxes at the end, after the changes by ISIC code are summed across all the sectors.