- From Transforming or Reforming Capitalism - Chapter 3 - Lamb "Towards an Economic Theory of Community Economic Development": Staple theory is around diversification of an export base. Its backward linkages measure dependencies in the region - a restaurant purchasing local food and labour. Forward linkages measure output sold to other regional sectors. Demand linkage is a measure of how much investment in regional industry produces goods for consumption, investment or government purhcase by the export sector. clarify Leakage measures income flows leaving a community, for example through migratory workers, external input purchases, or externally owned enterprises. Linkages are multiplied by domestic production, and supply side expansion in labour, capital, entrepeneurship, and complementary input (eg technology).