OUTPUT MULTIPLIERS IN THE ECONOMIES OF GERMANY, POLAND AND SLOVAKIA: A COMPARATIVE INPUT-OUTPUT ANALYSIS
OUTPUT MULTIPLIERS IN THE ECONOMIES OF GERMANY, POLAND AND SLOVAKIA: A COMPARATIVE INPUT-OUTPUT ANALYSIS

Summary/Abstract: The article presents a comparative analysis of output multipliers in the economies of Germany, Poland and Slovakia for 2022. The study is based on national input-output tables published by the OECD and covers fifty economic activities. The results reveal a clear cross-country gradient in average output multipliers: Germany records the lowest value, Poland an intermediate one and Slovakia the highest. This gradient reflects the higher material intensity of production in Poland and Slovakia and is amplified by the use of the total Leontief inverse, which includes both domestic and imported intermediate consumption. The ranking of economic activities is broadly similar across the three countries: manufacturing and energy occupy the upper part of the distribution, whereas education, public administration and real estate activities are located at the lower end. Slovakia combines the highest average multiplier with the widest dispersion, driven especially by motor vehicles, electronic products and electricity supply. The output multiplier is decomposed into a direct requirements component and a residual requirement component, the latter defined as the remaining output requirement after the first round of direct inputs; this residual component accounts for about 70-85 per cent of the total multiplier in all three economies. A central empirical finding is that selected manufacturing activities in Poland and Slovakia, especially motor vehicles, computers and electronics, electrical equipment and, in Slovakia, electricity supply, generate substantially higher multipliers than their German counterparts.

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