An economic and cash flow analysis of a proposed kenaf separation plant

Impact analysis is a key component of analyzing any proposed new project. An impact analysis is capable of showing the effect of a new venture on the economy. Building and implementing a kenaf processing facility in Georgia will impact the economy on two levels. The new plant will generate output as it begins selling processed kenaf. These sales will, in turn, generate additional sales as the plant purchases inputs. The suppliers to the plant will increase the purchase of their inputs, thus increasing demand for those items. These increased sales will ripple through the economy. An input-output model will capture and quantify these effects.