This paper is part of a Ph.D. dissertation submitted by the author to the Graduate College, University of Iowa, and was partially supported by the National Science Foundation Grant GS-1491. The author acknowledges the guidance and encouragement received from Professor S. Y. Wu.

R EGIONAL input-output tables have long been acclaimed as useful tools in regional forecasting, especially long-run forecasts, yet surprisingly few regional projections have made a serious attempt to use them. This paper reports on one effort in this direction an inputoutput based projection for the State of Washington for the year 1980. Because of the time constraints no effort will be made to describe how the 1963 State of Washington table was developed. Rather, it is given as datum [3]. In addition, again because of time, not all of the details in the projection process are included. Finally, because few are interested in the results, no bulky tables have been included.

N thi's paper we describe an econometric model of the American tobacco industry for the period 1949 through 1966. The model contains 19 equations and is divided into three major blocks - (1) leaf production, (2) leaf price, and (3) cigarettes. The objective is to explain the behavior of the tobacco industry over an 18-year period. Ultimately, we hope to use the model to perform policy simulation experiments to evaluate the effects of alternative governmental and managerial policies on the behavior of the industry. We begin with a brief description of the industry. Next we discuss the theoretical specification of the model and the statistically estimated equations. We conclude with some example simulation results which provide additional evidence of the validity of the model for explaining the behavior of the tobacco industry over the period 1949 through 1966