The Use Transactions Table

The total output (sales) of any particular industry can be broken down into sales to other industries and sales to final demand  

= sales of industry k directly to final demand (personal consumption, government expenses, investment, and export) 

For each industry of interest such an equation can be written as follows  

The output from industry k to industry j is also the input from k to / necessary for j to make its products. Equation (4.2) can be presented in tabular form (Table 4.1), to illustrate once again the principle of double-entry bookkeeping (total output is equal to total input). Summing all industrial inputs X to any industry k in a column yields the total cost of all intermediate inputs, 7, required by industry k to produce its total output, X.  

The difference between the cost of all intermediate inputs to industry k and its total sales measured by its total output X, is the value added to total gross production by industry k  

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