IDEAS home Printed from https://ideas.repec.org/p/osf/osfxxx/meqhx.html
   My bibliography  Save this paper

Linking hypothetical extraction, the accumulation of production factors, and the addition of value

Author

Listed:
  • Hertwich, Edgar

    (Norwegian University of Science and Technology)

  • Rasul, Kajwan
  • Koslowski, Maximilian

Abstract

In industrial ecology, approaches have been developed to analyse the contribution of specific sectors to environmental impacts within supply chains. In economics, the analysis of key sectors has been undertaken through hypothetical extraction, in which the role of sectors is assessed as the effect of their removal on the solution of the input-output model. This manuscript offers a formal investigation of the relationship between these. It shows that both the analysis of supply chain impacts and of intersectoral linkages can be seen as special cases of a more general hypothetical extraction method (HEM) which also allows for the (partial) extraction of individual transactions. Further, the price model for HEM is introduced to identify the contribution of the extracted (target) sectors to the price or footprint of a commodity. It suggests that unit inputs of production factors should be included in linkage analysis, offering clearly interpretable results.

Suggested Citation

  • Hertwich, Edgar & Rasul, Kajwan & Koslowski, Maximilian, 2024. "Linking hypothetical extraction, the accumulation of production factors, and the addition of value," OSF Preprints meqhx, Center for Open Science.
    • Handle: RePEc:osf:osfxxx:meqhx
    DOI: 10.31219/osf.io/meqhx
    as

    Download full text from publisher

    File URL: https://osf.io/download/65a76c8e1cba3e0e7f01852c/
    Download Restriction: no
    File URL: https://libkey.io/10.31219/osf.io/meqhx?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Thijs Raa, 2020. "Linkages, fields of influence and key sectors," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-3, December.
    2. Stefan Pauliuk & Guillaume Majeau-Bettez & Daniel B. Müller, 2015. "A General System Structure and Accounting Framework for Socioeconomic Metabolism," Journal of Industrial Ecology, Yale University, vol. 19(5), pages 728-741, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Golinucci, Nicolò & Tonini, Francesco & Rocco, Matteo Vincenzo & Colombo, Emanuela, 2023. "Towards BitCO2, an individual consumption-based carbon emission reduction mechanism," Energy Policy, Elsevier, vol. 183(C).
    2. Carlos Pablo Sigüenza & Bernhard Steubing & Arnold Tukker & Glenn A. Aguilar‐Hernández, 2021. "The environmental and material implications of circular transitions: A diffusion and product‐life‐cycle‐based modeling framework," Journal of Industrial Ecology, Yale University, vol. 25(3), pages 563-579, June.
    3. Faye Duchin, 2017. "Resources for Sustainable Economic Development: A Framework for Evaluating Infrastructure System Alternatives," Sustainability, MDPI, vol. 9(11), pages 1-15, November.
    4. Heun, Matthew Kuperus & Owen, Anne & Brockway, Paul E., 2018. "A physical supply-use table framework for energy analysis on the energy conversion chain," Applied Energy, Elsevier, vol. 226(C), pages 1134-1162.
    5. Hanspeter Wieland & Stefan Giljum & Nina Eisenmenger & Dominik Wiedenhofer & Martin Bruckner & Anke Schaffartzik & Anne Owen, 2020. "Supply versus use designs of environmental extensions in input–output analysis: Conceptual and empirical implications for the case of energy," Journal of Industrial Ecology, Yale University, vol. 24(3), pages 548-563, June.
    6. Pauliuk, Stefan & Hertwich, Edgar G., 2015. "Socioeconomic metabolism as paradigm for studying the biophysical basis of human societies," Ecological Economics, Elsevier, vol. 119(C), pages 83-93.
    7. Hanspeter Wieland & Manfred Lenzen & Arne Geschke & Jacob Fry & Dominik Wiedenhofer & Nina Eisenmenger & Johannes Schenk & Stefan Giljum, 2022. "The PIOLab: Building global physical input–output tables in a virtual laboratory," Journal of Industrial Ecology, Yale University, vol. 26(3), pages 683-703, June.
    8. Reinout Heijungs & Arjan Koning, 2019. "Analyzing the effects of the choice of model in the context of marginal changes in final demand," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 8(1), pages 1-22, December.
    9. Gerber, Julien-François & Scheidel, Arnim, 2018. "In Search of Substantive Economics: Comparing Today's Two Major Socio-metabolic Approaches to the Economy – MEFA and MuSIASEM," Ecological Economics, Elsevier, vol. 144(C), pages 186-194.
    10. Haider, Khan & Szymanski-Burgos, Adam, 2021. "COVID-19 and Strategic Sectors in Brazil: A Socially-Embedded Intersectional Capabilities Approach," MPRA Paper 109022, University Library of Munich, Germany.
    11. Rupert J. Myers & Tomer Fishman & Barbara K. Reck & T. E. Graedel, 2019. "Unified Materials Information System (UMIS): An Integrated Material Stocks and Flows Data Structure," Journal of Industrial Ecology, Yale University, vol. 23(1), pages 222-240, February.
    12. Chuanbin Zhou & Shijun Ma & Xiao Yu & Zhuqi Chen & Jingru Liu & Li Yan, 2022. "A comparison study of bottom‐up and top‐down methods for analyzing the physical composition of municipal solid waste," Journal of Industrial Ecology, Yale University, vol. 26(1), pages 240-251, February.
    13. Edgar Battand Towa Kouokam & Vanessa Zeller & Wouter Achten, 2019. "Input-output models and waste management analysis: A critical review," ULB Institutional Repository 2013/359535, ULB -- Universite Libre de Bruxelles.
    14. Katya Pérez-Guzmán & Isela-Elizabeth Téllez-León & Ali Kharrazi & Brian Fath & Francisco Venegas-Martínez, 2018. "What makes Input-Output Tables of Trade of Raw Material Goods Peculiar Networks? The World and Mexican Cases," Remef - Revista Mexicana de Economía y Finanzas Nueva Época REMEF (The Mexican Journal of Economics and Finance), Instituto Mexicano de Ejecutivos de Finanzas, IMEF, vol. 13(4), pages 483-505, Octubre-D.
    15. Carina Harpprecht & Lauran van Oers & Stephen A. Northey & Yongxiang Yang & Bernhard Steubing, 2021. "Environmental impacts of key metals' supply and low‐carbon technologies are likely to decrease in the future," Journal of Industrial Ecology, Yale University, vol. 25(6), pages 1543-1559, December.
    16. Ciprian Cimpan & Eivind Lekve Bjelle & Anders Hammer Strømman, 2021. "Plastic packaging flows in Europe: A hybrid input‐output approach," Journal of Industrial Ecology, Yale University, vol. 25(6), pages 1572-1587, December.
    17. Joris Baars & Mohammad Ali Rajaeifar & Oliver Heidrich, 2022. "Quo vadis MFA? Integrated material flow analysis to support material efficiency," Journal of Industrial Ecology, Yale University, vol. 26(4), pages 1487-1503, August.
    18. Euclides Santos Bittencourt & Cristiano Hora de Oliveira Fontes & Jorge Laureano Moya Rodriguez & Salvador Ávila Filho & Adonias Magdiel Silva Ferreira, 2020. "Modeling the Socioeconomic Metabolism of End-of-Life Tires Using Structural Equations: A Brazilian Case Study," Sustainability, MDPI, vol. 12(5), pages 1-28, March.
    19. Stephen Ivan aan den Toorn & Ernst Worrell & Machteld A. van den Broek, 2020. "Meat, dairy, and more: Analysis of material, energy, and greenhouse gas flows of the meat and dairy supply chains in the EU28 for 2016," Journal of Industrial Ecology, Yale University, vol. 24(3), pages 601-614, June.
    20. Verena Göswein & Jonathan Krones & Giulia Celentano & John E. Fernández & Guillaume Habert, 2018. "Embodied GHGs in a Fast Growing City: Looking at the Evolution of a Dwelling Stock using Structural Element Breakdown and Policy Scenarios," Journal of Industrial Ecology, Yale University, vol. 22(6), pages 1339-1351, December.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:osf:osfxxx:meqhx. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: OSF (email available below). General contact details of provider: https://osf.io/preprints/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.