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A. Belegri – Roboli, S. Lapatsioras, M. Markaki*, P. Michaelides

Comparative Analysis of Greenhouse Gas Emissions Multipliers for Six European Countries (1995-2000): a NAMEA Approach. A. Belegri – Roboli, S. Lapatsioras, M. Markaki*, P. Michaelides. Abstract

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A. Belegri – Roboli, S. Lapatsioras, M. Markaki*, P. Michaelides

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  1. Comparative Analysis of Greenhouse Gas Emissions Multipliers for Six European Countries (1995-2000):a NAMEA Approach A. Belegri – Roboli, S. Lapatsioras, M. Markaki*, P. Michaelides Abstract The purpose of our research is the estimation of the impacts of economic activity on greenhouse emissions (CO2, CH4, N2O and GWP). The formulation of a viable environmental policy in the framework of macroeconomic analysis must take into account the economy-environment interdependencies. By means of input-output analysis (using NAMEA tables), we calculate emission multipliers (direct and indirect) both Leontief and Ghosh, for six European countries (Austria, Belgium, Greece, Italy, Netherlands and Spain), for the time period 1995-2000. According to the empirical results, the industries that cause the greatest environmental load, for all countries are: (a) electricity production, (b) transportation and (c) agriculture. Methodology Leontief Multipliers: ; Ghosh Multipliers: where: the vector of direct coefficients for the emission m, (I-A)-1 the Leontief inverse, (I-B)-1 the Ghosh inverse Data Macroeconomics, emissions data and IO tables come from Eurostat. The IO table for Greece (2000) is our estimation Leontief Multipliers • Conclusions • An increase in the quantity of greenhouse gases is recorded. • For the majority of the industries (85%) the multipliers (Leontief and Ghosh) have decreased. • A unit increase in output tends to create a decreasing (in time) quantity of emissions, directly to the industry as well as to the rest of the industries. • The very high CO2 multipliers in Greece are caused by the fuel used in the electricity generation process (≈ 65% lignite). • Also, the high ratio of indirect multipliers (40%-55%) implies that these industries have strong interdependencies with the rest of the economy. • The Ghosh multipliers are higher than the Leontief for the majority (94%) of the cases. This indicates that the most pollutant industries have higher forward than backward interconnections. • The improvement in industrial performance in terms of greenhouse emissions is due to the changes (improvement) in the production technology, expressed through the matrix of technical coefficients. • Future Work • Widening of the Database • Decomposition Analysis • Development of Life-Cycle Assessment Ghosh Multipliers • Research areas • Theoretical and Applied Economic Analysis • Input – Output Analysis • Labour Economics Tel: 0030 210 7721607 Fax: 0030210 7721618 *e-mail: maniam@central.ntua.gr website: www.aked.ntua.gr National Technical University of Athens School of Applied Mathematics and Physical SciencesDepartment of Humanities, Social Sciences and Law Laboratory of Applied Economics Postal address: Bld. E, 1st fl., Genikes Edres9 Heroon Polytechneiou StrGR-15780 Zographos CampusAthens, Greece

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