Mapping analytical methods between input–output economics and network science

Pengli An, Shen Qu, Ke Yu and Ming Xu

Journal of Industrial Ecology, 2024, vol. 28, issue 4, 648-679

Abstract: The input–output (IO) model can be used to examine the flow of products and services within an economy, resembling a network with industries as nodes and transactions as links. Diverging significantly from commonly studied networks such as social, protein, and power grids, IO networks exhibit intricate interconnectivity, involving weighted nodes and both directional and weighted links. This uniqueness necessitates careful consideration when applying complex network analysis techniques to IO systems. We critically review current complex network metrics and attempt to link them with existing IO approaches. Based on our assessment, certain network metrics, such as degree centrality and eigenvector centrality, have been explicitly integrated into the IO theory. In contrast, there exist metrics whose definitions and interpretations expand when applied in the context of IO analysis, including closeness and betweenness centrality. Additionally, network metrics are usually used to study topological features, identify key sectors, and construct novel metrics to study related issues. Network metrics used in IO analysis can identify important driver and transmission sectors in resource flow and environmental emission network, facilitating the development of targeted and reliable strategies. Besides, network metrics are used to quantify topological features and structural changes of the IO network which help strengthen the supply chain and mitigate both direct and indirect impacts of disruptions. Our ultimate goal is to establish connections and offer a roadmap for developing network‐based tools in IO analysis.

Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/jiec.13493

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:inecol:v:28:y:2024:i:4:p:648-679

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1088-1980

Access Statistics for this article

Journal of Industrial Ecology is currently edited by Reid Lifset

More articles in Journal of Industrial Ecology from Yale University
Bibliographic data for series maintained by Wiley Content Delivery ().