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Topic: Location quotient


In the News (Wed 22 May 13)

  
  Location Quotient Technique Page
The location quotient technique is based upon a calculated ratio between the local economy and the economy of some reference unit.
Instead, location quotients are calculated for all industries to determine whether or not the local economy has a greater share of each industry than expected when compared to a reference economy.
Location quotients may also be calculated that compare the county to a state.
garnet.acns.fsu.edu /~tchapin/urp5261/topics/econbase/lq.htm   (1403 words)

  
 Haas Center for Business Research & Economic Development
The industries with large location quotients are obviously quite important to the local economy, but at the same time focusing efforts on retaining them may be wasted if the industry as a whole is on its way out due to technological changes or foreign competition.
The location quotient technique determines the level of basic sector employment by comparing the local economy to the economy of a larger geographic unit like state or the entire nation, in the process attempting to identify specializations in the local economy.
Location quotients are calculated for all industries to determine whether or not the local economy has a greater share of each industry than expected when compared to a reference economy.
www.cbred.uwf.edu /article.asp?articleID=86   (1495 words)

  
 Retail Biz   (Site not responding. Last check: 2007-09-14)
The location quotient is most frequently used in economic geography and locational analysis, but it has much wider applicability.
The location quotient (LQ) is an index for comparing an area’s share of a particular activity with the area’s share of some basic or aggregate phenomenon.
The location quotient for a given activity for area A is the ratio of the percentage of the total regional activity in area A to the percentage of the total base in area A. A location quotient is thus the ratio of two percentages and is therefore dimensionless.
www.timesb2b.com /retailbiz/oct2003/rmap.html   (517 words)

  
 Location Quotient Exercise
Membership Location Quotient, National Council for Geographic Education (NCGE) is an organization established to enhance the status and quality of geography teaching and learning.
A Location Quotient evaluates the degree that a region specializes in a certain industry (j) by comparing the ratio of employment (E)...
Use of Location Quotient to identify the Export Base of Utah County.
faculty.washington.edu /~krumme/207/location_quotient.html   (807 words)

  
 ARC | Research Reports
While a location quotient indicates a concentration of activity within a single county that is relatively high compared to the national average, the G statistic helps reveal broader multi-county areas where technology-related activity is especially pronounced.
Employment location quotients appreciably greater than 1.0 indicate that there is a higher share of the given activity in the study county than the U.S. as a whole (thus suggesting a relative specialization in that county).
Employment location quotients by study MSA for the thirteen science and engineering occupation categories are reported in Table 6 and displayed in Figures 17-19.
www.arc.gov /index.do?nodeId=1410&print=yes   (4549 words)

  
 DVRPC / Data Services / Data Bulletins / Analytical Data Reports / ADR#9: Home Mortgage Disclosure Act Data, 2000: ...
The first step in location quotient analysis is to choose the reference economy with which to compare the Delaware Valley's performance; the second is to calculate the ratio and to reveal leading industries, meaning the industries that achieve a ratio above <1>.
Location quotients above one for the 9-county region are illustrated in Table 1.
Like REIS data, one can derive location quotients and other analytical measures from it; the main difference between them, relevant to this discussion, is that the Economic Census measures both sectors and more specific classifications within sectors, making it possible to understand the components of the Delaware Valley's service sector base.
www.dvrpc.org /data/databull/adr/adr10.htm   (5765 words)

  
 Hubert H. Humphrey Institute of Public Affairs: State and Local Policy Program - Economic Development - Understanding ...   (Site not responding. Last check: 2007-09-14)
The location quotient is a measure of an industry's concentration in an area relative to the rest of the nation.
A location quotient greater than 1 means the industry employs a greater share of the local workforce than it does nationally.
If a location quotient is less than one in a service or retail industry, it may mean that residents and businesses purchase services and retail goods they require from outside the area.
www.hhh.umn.edu /centers/slp/economic_development/quantitative_analysis.htm   (6004 words)

  
 Location Quotients   (Site not responding. Last check: 2007-09-14)
The location quotient for a given activity for area i is the ratio of the percentage of the total regional activity in area i to the percentage of the total base in area i.
A location quotient is thus the ratio of two percentages and is therefore dimensionless.
For manufacturing, the location quotients reveal a concentration in area B and less than expected shares in each of the three other areas.
www-rohan.sdsu.edu /faculty/fstutz/locationquot.html   (600 words)

  
 DCUBS Research Paper Series: No. 8: Core-Periphery Analysis: A tale of two nations
This location quotient methodology was used in an analysis of industry exports for the aggregation of EU peripheral nations, for Ireland, and for Denmark.
In order to prepare the data for location quotients, two aggregations of European regions were used: a peripheral category, comprised of Denmark, Greece, Ireland, Portugal and Spain, and a core category including the remaining EU nations, with the exception of Italy for which adequately disaggregated regional data were not available.
Location quotients for each of the 54 sub-national regions were calculated to estimate trade by industry.
www.dcu.ie /dcubs/research_papers/no8.html   (6197 words)

  
 DECD: Which Industries are Important to Connecticut?   (Site not responding. Last check: 2007-09-14)
In this case, we are using location quotients to compare the share of an industry’s employment in the State and its LMAs to the same industry’s share of national employment.
Although a location quotient is not a perfect measure of export activity, it does quickly identify unusually large industries within a geographic area.
Otherwise, a high location quotient, indicating a higher share of regional employment in a given industry, would be the result of a less productive labor force or unusual local consumption patterns, not export-producing employment.
www.ct.gov /ecd/cwp/view.asp?a=1106&q=250740   (1256 words)

  
 Location Quotient Analysis of Wide Bay
A location quotient is a rather simple economic development tool that helps us to identify what are known as “basic” and “non-basic” or service industries in the local economy.
The location quotient technique is also used to augment the results of a shift-share analysis and can be used in conjunction with input-output analysis in the formulation of key industry clusters.
The location quotients for each of the Wide Bay-Burnett region’s 21 LGAs versus the State’s industry employment rates have been formulated using time series data with three intervals, 1986, 1991, 1996 – thus growth and decline trends can be considered.
www.uq.edu.au /cr-surf/wide_bay/Location_Quotients/location_quotient_main.htm   (164 words)

  
 Community Economic Analysis Tools
Location quotients are calculated by dividing the percentage of those employed locally in a particular sector by the percentage of those employed in the same sector nationally.
A location quotient generally between the values of.75 and 1.25 probably indicates the community is just self-sufficient.
A location quotient less than 1 suggests the community is not self-sufficient and may be able to supply locally what it previously imported.
darkwing.uoregon.edu /~rgp/PPPM613/CommEconAnalysis.htm   (3679 words)

  
 ARC | Research Reports
A location quotient of 1.0 indicates that the share of activity in the county matches the comparable share for the nation.
Location quotients significantly above one (e.g., 1.1 or higher in the case of industry employment, 1.25 or higher in the case of patent grants and occupational employment) indicate a specialization in the given category, i.e.
To offset the problem of high location quotients in very small counties, we plot location quotients only for counties with at least fifty workers in the given industry or fifty patents in the given technology area.
www.arc.gov /index.do?nodeId=1414   (2606 words)

  
 Location Quotient: West Coast Building Construction   (Site not responding. Last check: 2007-09-14)
The location quotient for Washington was 1.361, demonstrating that employment in this sector of the construction industry is greater in relation to the state population than in the nation as a whole.
Oregon similarly has a higher location quotient, although at 1.032 it is only very slightly above 1.000, suggesting that Oregon’s proportion of employment in this sector is quite similar to the national average.
California’s location quotient of 0.774, on the other hand, shows that the state’s level of employment in this sector in relation to overall population is lower than the national average.
students.washington.edu /djbeard/207/lq.html   (375 words)

  
 Report Tracks Kansas Counties’ Reliance on Key Industries 7/11/03
A location quotient of 1.00 means that the county’s residents rely on a given industry in a proportion equal to all Kansas residents.
Wichita County has a location quotient of 9.08 in natural resources employment, which also indicates that more than 34 percent of its local labor force is employed in natural resource-based industries (though many may work in neighboring counties).
The K-State report indicates that 17 counties have a location quotient of 6.03 or higher in natural resources jobs, meaning that the proportion of county residents employed in natural resources is six times higher than the overall rate for Kansas.
www.oznet.ksu.edu /news/sty/2003/key_industries071103.htm   (809 words)

  
 Community Reinvestment Act
The EII study revealed that minority neighborhoods located within territories of lending institutions had either been excluded or were underserved with respect to mortgage loans.
LQ is a common geographic mathematical procedure to measure the degree of relative concentration of an activity on a map.
Figures 2 and 3 show the category that the location quotient for each of the two financial institutions falls within, at a 95 percent level of confidence; the breaking points for the categories relate to the statistical t-test described above.
www.clas.ufl.edu /users/thrall/reprints/stjun95/stjun95.htm   (3469 words)

  
 Sept. 2000 - Houston Business - FRB Dallas
In this article, we achieve a rough approximation using the location quotient and an associated measure of the economic base to identify the local economy's dependence on oil.
The location quotient is sometimes used to identify an area's export activity, which is crucial in defining the regional economy's role.
If a sector's location quotient is greater than 1, the sector has a larger than normal concentration of employment in Houston, and we assume Houston is a net exporter from that sector.
www.dallasfed.org /research/houston/2000/hb0006.html   (1876 words)

  
 EconDevIreland
The location quotient indicates whether a particular industry represents a larger (or smaller) proportion of a particular local economy than it does the national economy.
A location quotient of one means an industry makes up the same share of a regional economy as it does of the larger (usually national economy).
High location quotients (much greater than one) indicate that a region is relatively specialized in a particular industry.
econdevireland.blogspot.com   (1104 words)

  
 New BLS Web Tool Allows Local Area Comparisons
The new calculator generates location quotients, a measure that is familiar to regional labor economists as a way to readily compare the industrial activity levels among different areas of the country.
In general, location quotients are ratios that compare the concentration of a resource or activity, such as employment, in a defined area to that of a larger area or base.
For example, location quotients can be used to compare State employment by industry to that of the nation; or employment in a city, county, metropolitan statistical area (MSA), or other defined geographic sub-area to that in the State.
www.bls.gov /cew/cewlq.htm   (297 words)

  
 Location Quotient Exercise
The purpose of this exercise is to gain a very basic understanding of the relative size and role of different economic activities in your county or metropolitan area and of the use of the "location quotient" to measure the unevenness in the distribution of these activities, however inadequately.
Formulate one or two simple questions or propositions which are related to the relative importance of some employment facet related to your topical specialization (such as "retail activities") in the context of your county or metropolitan area....
Calculate the full slate of location quotients for "all" economic activities (possibly after appropriate aggregation of categories other than those important for your topical field) in your county or metropolitan area using Washington State AND the United States as the benchmark regions.
faculty.washington.edu /krumme/350/exercises/lq.html   (657 words)

  
 Identifying Economic Base Using Location Quotients   (Site not responding. Last check: 2007-09-14)
This is used to determine the location quotient in the last column.
Location quotients larger than 1.00 indicate that a particular sector is more important in your county than for the country as a whole.
Quotients smaller than 1.00 indicate that a sector is less important in your county than it is for the country as a whole.
srufaculty.sru.edu /james.hughes/445/ebase.htm   (285 words)

  
 Cluster Mapping Project, Institute for Strategy and Competitiveness
The Location Quotient is a ratio measure of the concentration of a cluster in a particular location relative to the national average.
The industry's location quotient (LQ) for state i, which is the ratio of the industry's share of total state employment relative to its share of total national employment:
The share of national employment is a measure of the relative cluster presence in a particular location to the nation.
www.isc.hbs.edu /cmp/cmp_data_glossary.html   (1011 words)

  
 Excerpt from Assembly Language Programming of the 8086/8088 et.al.   (Site not responding. Last check: 2007-09-14)
Because the quotient for an 8-bit division appears in AL, the result of 1,500 causes a divide overflow because the 1,500 does not fit into AL.
This represents a quotient of - 5 (AL) with a remainder of 1 (AH).
Notice how the contents of location NUMB are retrieved from memory and then zero-extended to form a 16-bit unsigned number for the dividend.
members.ee.net /brey/e5.htm   (525 words)

  
 Geographical Analysis: On the location quotient confidence interval.@ HighBeam Research
The location quotient is a useful tool for comparing area characteristics.
Using the Delta Method, a closed-forth expression is derived for calculating the standard deviation of the individual location quotient.
The application of individual location quotient confidence intervals based on the estimated standard deviations is illustrated using...
www.highbeam.com /library/doc0.asp?DOCID=1G1:106941439&refid=holomed_1   (167 words)

  
 Location Quotient Technique Example Page
Using the following statistics we can calculate a location quotient for King County for Manufacturing of Transportation Equipment (SIC Code 37) by comparing it to the State of Washington's figures.
So the Location Quotient for Industry Code 37 (Transportation Equipment) has been calculated to be greater than 1.0.
Industry Code 37 (Transportation Equipment Manufacturing) has a Location Quotient of 1.5168 which is greater than 1.0.
garnet.acns.fsu.edu /~tchapin/urp5261/topics/econbase/lq-ex.htm   (317 words)

  
 Series Editor Derek Wilkinson
In July we introduced the location quotient approach and showed that Sudbury is Ontario's outstanding mining community.
The location quotient is 1.36 for government services in 1986 (purple line at the top).
It is important to remember that we cannot have high location quotients in every industry.
www.laurentian.ca /INORD/ucsept/SeptemberII.htm   (676 words)

  
 CmSc 150 Fundamentals
The argument is not copied into another location, used by the parameter.
Example: a function that computes the quotient and the remainder in integer division.The first two parameters provide the input to the function - pass by value; the third and the fourth parameters contain the results - pass by reference.
Here n1 and n2 receive their values by copying the values of integer1 and integer2 in new locations, while q and rem each share one and the same memory location with quotient and remainder.
www.simpson.edu /~sinapova/cmsc150-02/L14-Param.htm   (350 words)

  
 Economic Development -Industry Analysis
For the lumber and wood industries in the sample data set, you would divide the 1500 employees in the most recent year by the 1200 employees in the base year, and subtract 1 from the quotient.
As with other quantitative techniques, location quotients calculated for highly aggregated industries, such as the SIC 2-digit industries, may mask interesting activity of individual industries.
For example, an area might have a very high location quotient for the optical instruments and lenses industry, which is a 3-digit SIC industry.
www.hhh.umn.edu /centers/slp/projects/edweb/indcook.htm   (6288 words)

  
 Glossary L   (Site not responding. Last check: 2007-09-14)
Purchases made in other service areas by consumers located within the subject area (representing a loss of revenue for retailers located within the trade area in which those consumers reside).
The process of evaluating whether a general location meets the requirements of being both possible and practical as defined on the basis of technical and functional components.
A method for estimating a community's economic base multiplier using basic employment estimates obtained from estimated location quotients (under various simplifying assumptions).
www.realtor.org /NCommSrc.nsf/pages/GlossaryL   (655 words)

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