Assume there are only 6 counties in a country, and there are only three industries (beer, bread and shirts) that employ people. The employment numbers are given in table view:

Employment Beer Employment Bread Employment Shirts

County 1 20 4 45

County 2 10 6 12

County 3 12 20 10

County 4 40 10 16

County 5 10 2 12

County 6 25 6 12

Calculate the ELQs for the following county and industry combinations:

a. Beer and County 2

b. Bread and County 1

c. Beer and County 6

ELQ formula = (ei/e) / (Ei/E); ei - employment for the region in sector i; e - employment in the region; Ei - employment in i sector for the economy as a whole; E - total employment in the economy.

a. Beer and County 2

County 2 employment is 10

County 2 total employment = 10+6+12 = 28

Total employment in the nation in beer industry = 117

Total employment in the nation = 272

ELQ = (10/28) / (117/272) = 0.83

b. Bread and County 1

County 1 employment is 4

County 1 total employment = 20+4+45 = 69

Total employment in the nation in bread industry = 48

Total employment in the nation = 272

ELQ = (4/69) / (48/272) = 0.33

c. Beer and County 6

County 6 employment is 25

County 6 total employment = 25+6+12 = 43

Total employment in the nation in beer industry = 117

Total employment in the nation = 272

ELQ = (4/43) / (117/272) = 1.35