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Process System Modelling of Production Technology Alternatives using Input- Output Tables with Sector Specific Units

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  • Steven Kraines
  • Yoshikuni Yoshida

Abstract

Input-output analysis is usually based on tables of accounts expressed in uniform monetary or physical units. However, from a process system modelling perspective, tables of accounts in sector specific units may be more useful for evaluating the effectiveness of new production technologies on reducing pollutant emissions. Using the sector specific unit conceptualization of an IO table, one can consider the effect of changes in direct input coefficients for a particular sector on the complete set of total input coefficients independently from the other direct input coefficients. A process system modelling based method for calculating the total industrial outputs from a new technology matrix together with the new relative prices for each sector output is presented. The method is then used to study the effect of technology changes in the steel making industry in Liaoning Province, China on prices and pollutant emissions.

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  • Steven Kraines & Yoshikuni Yoshida, 2004. "Process System Modelling of Production Technology Alternatives using Input- Output Tables with Sector Specific Units," Economic Systems Research, Taylor & Francis Journals, vol. 16(1), pages 21-32.
    • Handle: RePEc:taf:ecsysr:v:16:y:2004:i:1:p:21-32
    DOI: 10.1080/0953531032000164783
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    1. Takayama,Akira, 1985. "Mathematical Economics," Cambridge Books, Cambridge University Press, number 9780521314985, October.
    2. Satish Joshi, 1999. "Product Environmental Life‐Cycle Assessment Using Input‐Output Techniques," Journal of Industrial Ecology, Yale University, vol. 3(2‐3), pages 95-120, April.
    3. Shinichiro Nakamura & Yasushi Kondo, 2002. "Input‐Output Analysis of Waste Management," Journal of Industrial Ecology, Yale University, vol. 6(1), pages 39-63, January.
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    Cited by:

    1. Jutta Günther & Maria Kristalova & Udo Ludwig, 2019. "Structural stability of the research & development sector in European economies despite the economic crisis," Journal of Evolutionary Economics, Springer, vol. 29(5), pages 1415-1432, November.
    2. Choi, Jun-Ki & Bakshi, Bhavik R. & Haab, Timothy, 2010. "Effects of a carbon price in the U.S. on economic sectors, resource use, and emissions: An input-output approach," Energy Policy, Elsevier, vol. 38(7), pages 3527-3536, July.

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