Development of Estimates of Emergency Operating Capacity for 4-Digit SIC Manufacturing Industries

Article type: Research Article

Authors: Belzer, D.B.^a | Kellogg, M.A.^b | Roop, J.M.^c

Affiliations: [a] Battelle, Pacific Northwest Laboratories, P.O. Box 999, MSIN K6-57, Richland, WA 99352, USA, Tel.: + 1 509 376 4742, Fax: + 1 509 376 7716 | [b] 34243 Bennett Rd., Warren, OR 97053, USA, Tel.: + 1 503 397 0268 | [c] Battelle, Pacific Northwest Laboratories, P.O. Box 999, MSIN K6-57, Richland, WA 99352, USA, Tel.: + 1 509 376 8230, Fax: + 1 509 376 7716

Abstract: With the increased likelihood of budget reductions in defense expenditures, the question of how the United States might respond to a future national emergency is a key concern of many policy planners. As part of the planning process, national emergency planners require estimates of available productive capacity during emergency conditions to allow development of integrated policies for industrial preparedness. The paper summarizes the concepts, methods, and results of a study of emergency operating capacity (EOC) at the 4-digit standard industrial code (SIC) industry level of aggregation. The data used for empirical estimation are the historical capacity utilization measures collected by the Bureau of Census in the Survey of Plant Capacity (SPC). These utilization measures are used in conjunction with industry output measures to develop estimates of “practical” capacity by 4-digit SIC industry. Data collected in the SPC on weekly plant hours are used to obtain preliminary estimates of the additional “emergency” capacity expected from plant operation of 7 days per week, 24 hours per day.

DOI: 10.3233/JEM-1993-19301

Journal: Journal of Economic and Social Measurement, vol. 19, no. 3, pp. 141-158, 1993