Suppose the United States consisted of two metropolitan areas:  Boston and Los Angeles.  Each of the two metropolitan areas has three industries:  the apparel industry, food processing and electronic equipment industry.

 

The employment by industry for each metropolitan area:

 

Metropolitan Area Employment

 

 

 

 

Industry

 

Boston

Los Angeles

 

 

 

 

Food Processing

 

75,000

62,000

 

 

 

 

Apparel

 

13,500

220,000

 

 

 

 

Electronic Equipment

 

10,000

10,000

 

 

 

 

Calculate the multiplier for each metropolitan area.

 

Location Quotient

Export Employment

Boston

 

 

   Food Processing

 

 

   Apparel

 

 

   Electronic Equipment

 

 

 

 

 

Los Angeles

 

 

   Food Processing

 

 

   Apparel

 

 

   Electronic Equipment