Geoscience Reference
In-Depth Information
Fig. 16.3
Decomposition of the deviation in the LA County terms of trade (% point contributions
to total deviation)
Fig. 16.4
Decomposition of the deviation in LA County real investment (% point contributions to
total deviation)
The decline in willingness to pay exerts an indirect influence on regional
investment, via its effect on the terms of trade (Fig.
16.3
). In 2013, for a given
level of the capital stock, the negative deviation in the terms of trade causes the
value of the marginal product of capital to decline relative to baseline. This in turn
