employs only 13,000 workers but generates 60,000 additional service jobs in the area. Of those 60,000, 36,000 are unskilled, such as restaurant or retail workers, while 24,000 are skilled jobs such as doctors or lawyers. Other academics have taken issue with the large magnitude of the local multiplier effect claimed by Moretti. One study reanalyzes the claim of Enrico Moretti that five non-tradable jobs are created for each highly skilled tradable job. Using a modified version of Moretti's method it found that the true multiplier effect was only 1.02 non-tradable jobs created. Furthermore the study finds that there is no difference on the local multiplier effect between whether the tradable job is skilled or unskilled. Sweden A comparison study of local multiplier effects in Sweden revealed similar multiplier effects as those found in the United States. The study found that while sizable effects did occur, on average, they were smaller than the effects found in the United States. For Sweden, adding a high-skilled job to the traded sector resulted in the creation of 3 additional jobs in the non-traded sector, as opposed to the 5 additional jobs created in the United States. The authors argue the difference is due to the difference in local factors. For example, Sweden's relatively smaller wage difference between skilled and unskilled workers negatively impacts the overall multiplier effect. Italy Another study conducted in Italy using the same methodology as Morretti concluded that, in Italy, there was no evidence of a local multiplier effect from the creation of tradable jobs on the rest of the local economy. The study found the local multiplier effect to be zero and occasionally negative in all regions of Italy. In explaining this discrepancy, the authors points to excessive government regulation in the non-tradable sector, the government's role in wage setting, and barriers to labor mobility. See also Fiscal localism Local currency References External links The Local Multiplier Effect Explained (direct, indirect and induced) by the American Independent Business Alliance. Economic theories Localism (politics) Regional economics