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Composition of Greenhouse Gas Emissions in Spain: an Input-Output Analysis

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  • Butnar, Isabela
  • Llop Llop, Maria

Abstract

Extending the traditional input-output model to account for the environmental impacts of production processes reveals the channels by which environmental burdens are transmitted throughout the economy. In particular, the environmental input-output approach is a useful technique for quantifying the changes in the levels of greenhouse emissions caused by changes in the final demand for production activities. The inputoutput model can also be used to determine the changes in the relative composition of greenhouse gas emissions due to exogenous inflows. In this paper we describe a method for evaluating how the exogenous changes in sectorial demand, such as changes in private consumption, public consumption, investment and exports, affect the relative contribution of the six major greenhouse gases regulated by the Kyoto Protocol to total greenhouse emissions. The empirical application is for Spain, and the economic and environmental data are for the year 2000. Our results show that there are significant differences in the effects of different sectors on the composition of greenhouse emissions. Therefore, the final impact on the relative contribution of pollutants will basically depend on the activity that receives the exogenous shock in final demand, because there are considerable differences in the way, and the extent to which, individual activities affect the relative composition of greenhouse gas emissions. Keywords: Greenhouse emissions, composition of emissions, sectorial demand, exogenous shock.

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  • Butnar, Isabela & Llop Llop, Maria, 2006. "Composition of Greenhouse Gas Emissions in Spain: an Input-Output Analysis," Working Papers 2072/1750, Universitat Rovira i Virgili, Department of Economics.
    • Handle: RePEc:urv:wpaper:2072/1750
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    15. Kronenberg, Tobias, 2010. "Dematerialisation of consumption: a win-win strategy?," MPRA Paper 25704, University Library of Munich, Germany.
    16. Alcántara, Vicent & Padilla, Emilio, 2009. "Input-output subsystems and pollution: An application to the service sector and CO2 emissions in Spain," Ecological Economics, Elsevier, vol. 68(3), pages 905-914, January.
    17. Darío Serrano-Puente, 2021. "Are we moving towards an energy-efficient low-carbon economy? An input-output LMDI decomposition of CO2 emissions for Spain and the EU28," Working Papers 2104, Banco de España.
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