Impact assessments can be undertaken to measure the economic or socio-economic impact of a festival or event, capital investment, or policy/strategy intervention.
Impact assessments can occur before, during or after a particular event, investment or intervention takes place.
Socio-economic impact assessments are done to determine the potential impact on communities, business, or government, within the surrounding area or at a wider provincial or national level.
Socio-economic impact assessments usually include mobilising all affected parties, consolidating the positive and negative impacts that the development is anticipated to have, and to objectively evaluate, and where possible, measure these impacts. Thereafter, strategies can be developed to mitigate negative impacts and enhance positive impacts.
Impacts that may be measured include the contribution of the investment towards the local, regional or national economy in terms of GDP, employment, salaries and wages, new business sales, and taxes.
An example would be to determine the contribution of a film production towards provincial and national GDP, employment, income and taxes.
Techniques utilised in both socio-economic and economic impact assessments include data collation, surveys, stakeholder engagement, and economic modelling. This includes capturing all relevant information and data relating to income and expenditure, employment, skills, equipment and technology, infrastructure investment, etc.