Based on information from POLYSYS and the non-agricultural energy goals plus the target goal, a renewable energy sector is created consisting of a weighted mix of conversion facilities. Quantities of electricity, ethanol, and biodiesel produced in each state from agricultural and non-agricultural renewable fuel types are estimated. These quantities are then used as weights to develop the estimated input expenditures required to meet the projected state level of production and inserted as GAC's into the model. Based on 2002-2004 energy prices, the total industry output is estimated and the sector impacted by that amount to determine induced and indirect effects. Finally, investment impacts are estimated using the number of facilities required to meet electric demand in each state assuming that the impacts occurred in the year that the facility was needed to meet renewable energy demand.
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