Induced effects

Induced effects

Induced effects: effects resulting from the re-expenditures of households. Employees of companies earn wages that are spend on goods and services. This means that not only the hotel's purchase of food and beverages from a wholesaler are included, but also the expenses of the employees of the hotel, as well as the expenses of the employees of the wholesaler, etc.

Relevance for urban planners

This page is a supportive page to explain the meaning of "induced effects".

Related subjects

• is an attribute of::Economic impact

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