Putting the Components of Shiftshare together
Employment change in (local) industry i between 1990 and 1980 = Economic growth comp. + Proportional shift comp. + Differential shift comp.
i.e., Employment change in (local) industry i between 1990 and 1980
REF90 = 1990 employment in reference economy
REF80 = 1980 employment in reference economy
EMP90i = 1990 employment in industry i in the reference economy
EMP80i = 1980 employment in industry i in the reference economy
LOC90i = 1990 employment in industry i in the local economy
LOC80i = 1980 employment in industry i in the local economy