To simulate the growth of a region's product and income is to create the data that describe the evolution of a regional economic system. In this study the data pertain to the Iowa economy for the 20-year period - 1954 to 1974. They are presented for two primary purposes - to illustrate (a) the effects of major market and technological trends on a state or regional economy and (b) the uses of social accounting data in state or regional development and planing. Estimates of the gross Iowa product are presented to show its changing composition over the 1954-74 period. In addition, a system of economic relationships is used to generate year-to-year changes in specific components of Iowa's gross product.
The Iowa data show the principal structural features of the state's economy. In 1954, for example, the gross Iowa product (i.e., the "value added" by economic activity in Iowa) was 5.6 billion dollars, of which 4.5 billion dollars was in the form of personal income payments. Thus, the 1954 gross state product of $2,090 per capita was sufficient to allow for an average personal income of $1,690, given a total Iowa population of 2,665,000.
By 1974, the Iowa gross product will reach 9.5 billion dollars (in constant 1954 dollars) - an increase over the 20-year period of 2.7 percent per year, compounded annually - according to the benchmark projections. Total population in 1974 is estimated at 2,852,400, an increase of only 1/3 percent per year. Per-capita personal income would reach 2,560 dollars per person, while projected gross investment would reach 2.2 billion dollars.
Maki, Wilbur R.; Suttor, Richard E.; and Barnard, Jerald R.
"Simulation of regional product and income with emphasis on Iowa, 1954-1974,"
Research Bulletin (Iowa Agriculture and Home Economics Experiment Station): Vol. 35
, Article 1.
Available at: https://lib.dr.iastate.edu/researchbulletin/vol35/iss548/1