  By applying network analysis techniques to large input-output system, we
identify key sectors in the local/regional economy. We overcome the limitations
of traditional measures of centrality by using random-walk based measures, as
an extension of Blochl et al. (2011). These are more appropriate to analyze
very dense networks, i.e. those in which most nodes are connected to all other
nodes. These measures also allow for the presence of recursive ties (loops),
since these are common in economic systems (depending to the level of
aggregation, most firms buy from and sell to other firms in the same industrial
sector). The centrality measures we present are well suited for capturing
sectoral effects missing from the usual output and employment multipliers. We
also develop an R package (xtranat) for the processing of data from IMPLAN(R)
models and for computing the newly developed measures.
