Decomposition techniques in the input-output analysis are traditionally based on the assumptions that the elasticity of price-induced input substitution is either zero (the Leontief assumption) or equal to one (the Cobb-Douglas and Klein-Morishima assumption). Sectoral differences in quantities or prices that are observed over time or across space are accordingly decomposed into direct and indirect input-quantity or input-price components and technological change effects. Since the empirical results may depend significantly on the underlying hypothesis on price-induced input substitution, the paper is aimed at extending the traditional input-output model to a more general production system that is compatible with all possible values of elasticities of substition. Assuming quadratic polynomial functional forms of sectoral cost functions, a more general input-output accounting system can be developed. In this paper, the traditional input-output model is implicitly extended to the case of Translog cost functions by using Tornqvist index numbers in interspatial and intertemporal comparisons of relative price levels and their components. A new decomposition procedure is derived and applied empirically. The results are compared with those obtained by using the traditional input-output decomposition procedures.