Determining the economic sectors with the most backward and forward linkages in Isfahan province with an emphasis on the adjustment of national technology coefficients in the CHARM method

Providing analysis using regional input-output tables is a way to understand regional economy and sector policies. Due to the lack of regional data collection by upstream institutions in Iran, non-statistical methods for estimating regional input-output tables have been of interest. The CHARM method is one of the conventional methods of regionalization of national input-output tables in the conditions of simultaneous bilateral trade. But one of the problems of the CHARM method is the assumption of the equality of national and regional technology coefficients. Despite this assumption, the regional difference is practically ignored. This research is trying to prevent the underestimation of provincial added value by regionalizing the coefficients of the national technology and including regional differences in the analysis. Also, in the following, the sections with the most posterior and anterior links will be identified. The results show that the added value of Isfahan province and other provinces of the country are closer to reality in the adjusted state. Also, the industrial sector of Isfahan province has the most backward and forward linkages in the adjusted state.