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The input-output technique is an economic analysis method used to understand the interdependencies between different sectors of an economy. It utilizes a matrix representation to show how the output from one industry serves as an input to another, thereby illustrating the flow of goods and services. This technique aids in assessing the impact of changes in one sector on others and can be useful for economic planning and policy formulation. It is commonly employed in regional and national economic studies to evaluate production, consumption, and trade dynamics.

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