ANALYSING THE STRUCTURE OF THE ECONOMY USING PHYSICAL INPUT-OUTPUT TABLES

Analyses using physical input-output tables (PIOTs) are key to understanding the physical metabolism of economies, since they relate production to the generation of emissions and use of resources. Two methods have been developed to calculate the primary resources and emissions associated with a give...

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Bibliographic Details
Published in:Economic systems research 2014-10, Vol.26 (4), p.463-485
Main Author: Altimiras-Martin, Aleix
Format: Article
Language:English
Subjects:
By products
Carbon emissions
Comparative analysis
Economic structure
Economic systems
Emissions
Environmental accounts
Input output analysis
Material flow analysis
Physical input-output table
Structural analysis
Studies
Waste
Wastes
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Summary:Analyses using physical input-output tables (PIOTs) are key to understanding the physical metabolism of economies, since they relate production to the generation of emissions and use of resources. Two methods have been developed to calculate the primary resources and emissions associated with a given final demand. However, one of these alters the PIOT, revealing different technical coefficients and Leontief inverse matrices. Which method should be used for structural analysis? In this paper, I compare both methods, explain the structural differences between them and illustrate the latter through a backward linkage analysis. I find that only one method is suited to the analysis of the physical structure of the economy, since it comprehends both the production of goods and associated emissions. The method is identified as a new model capable of tracing by-products as final outputs. Finally, I generalise both methods to analyse PIOTs including several emission types.
ISSN:0953-5314
1469-5758
DOI:10.1080/09535314.2014.950637