An Input-output Analysis of Impact of Voluntary Self-restraint on the Recreation Industries

We quantified the impact of the decreased recreation demand caused by voluntary self-restraint following the Great East Japan Earthquake. We assumed an exogenous 10% reduction of the private consumption demand for three recreation industries experiencing decrease in demand due to “self-restraint”: amusement and recreational services, eating and drinking places, and accommodations. We used a simple input-output model and found that their decline would reduce agriculture, fishery and related manufacturing sector output by about 2% and that of electricity, gas supply, water supply and waste management service by at most 1% through the input-output linkages.