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Linking NAMEA and Input output for 'consumption vs. production perspective' analyses

Giovanni Marin (), Massimiliano Mazzanti () and Anna Montini ()

No 1109, Openloc Working Papers from Public policies and local development

Abstract: We integrate input output and NAMEA tables for Spain and Italy in 1995, 2000 and 2005, in order to address the hot policy issue of sustainable consumption and production. A comparison of a production and consumption perspective may have relevant policy implications. We deal with the domestic technology assumption and primarily the aggregation bias that may result when calculating indirect emission using different sector aggregation in the analyses (e.g. 16, 32, 50). Extended Input output analysis provides analyses of the emissions embodied in domestic consumption and domestic production by considering the structure of intermediate inputs and environmental efficiency in each production sector. Our empirical findings show that different sectoral aggregation significantly biases the amount of emissions both for the consumption and the production perspective, though differently in the two countries. Italy surprisingly show consumption/production ratios around or lower than one, but in line with some major work at EU level. Our results thus suggest that special attention must be paid when interpreting the EE-IOA of country estimated amounts of embodied emissions, both in domestic final demand and those directly associated with the production sectors when the sectoral aggregation level has a low definition as considered in some recent similar studies.

Keywords: NAMEA; extended input output; sustainable consumption and production; aggregation bias; final demand (search for similar items in EconPapers)
JEL-codes: Q53 Q56 D57 F18 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cis
Date: 2011
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Journal Article: Linking NAMEA and Input output for ‘consumption vs. production perspective’ analyses (2012) Downloads
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