The _____ model is a popular model for determining the multiplier

• A. RIMS II
• B. IMPLAN
• C. REMI
• D. Input-Output Model

Answer: (A)

Multipliers show how an initial change in spending ripples through an economy, adding direct effects in the affected industry, indirect effects through suppliers, and induced effects from resulting income and consumption. The Regional Input-Output Modeling System II (RIMS II) is the standard tool used to derive these regional multipliers by industry. Developed by the BEA, it uses regional input–output tables to estimate the total impact (direct, indirect, and induced) of changes in final demand, and it provides multipliers for many regions and sectors, making results comparable and widely accepted. While other models like IMPLAN or REMI can produce multipliers and offer different modeling approaches, RIMS II is the classic, widely cited choice for determining regional multipliers. The generic Input-Output Model describes the framework, but it isn’t a specific, widely adopted multiplier model on its own.