Why does the Retail & Wholesale industry appear in the intermediate inputs of the education industry in Input-Output Tables? Can you provide an example? Thanks
The presence of the Retail & Wholesale industry in the intermediate inputs of the Education industry reflects the flow of goods and services required by the Education sector to operate efficiently. This occurs because educational institutions often need various supplies, equipment, and services to support their activities.
For eg : Consider a university:
Textbooks and Supplies: Universities purchase textbooks, stationery, laboratory equipment, and other supplies from retail stores and wholesalers to support teaching and research.
Cafeteria Services: Many educational institutions provide dining facilities for students and staff, which involve food products and services supplied by the Retail & Wholesale industry.
Maintenance and Cleaning: Universities require cleaning services and maintenance supplies, such as cleaning products and equipment, which are sourced from this sector.
Infrastructure: Construction materials and services for building and maintaining campus infrastructure may also come from the Retail & Wholesale sector.
Technology and Electronics: Computers, software, and electronic equipment used for teaching and administrative purposes are often purchased through retail and wholesale channels.
All these goods and services are considered intermediate inputs for the Education industry because they are essential for its operations but are not produced within the Education industry itself.