This paper explores and demonstrates an innovative application of an input-output model for the assessment of the economic consequences of hypothetical disruption events. Such events in a region are first simulated and their affected areas estimated using a GIS-based geo-spatial simulation approach. Then, the consequences of the simulated events on the regional economy are estimated and disaggregated by industry and sub-region. The research is important because it develops a new simulation and input-output model approach to regional and national security analysis that offers promising results. Further, it provides a methodology for assessing the economic consequences of possible disruption events. Knowledge of economic impacts of disruptions is essential for determining and justifying appropriate protection and mitigation policies and measures.
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