Associate professor at the Institute of Local Government Studies—Denmark, in Copenhagen, Denmark.
Using Input-Output Analysis to Measure the Environmental Pressure of Consumption at Different Spatial Levels
Article first published online: 8 FEB 2008
Journal of Industrial Ecology
Volume 9, Issue 1-2, pages 169–185, January 2005
How to Cite
Munksgaard, J., Wier, M., Lenzen, M. and Dey, C. (2005), Using Input-Output Analysis to Measure the Environmental Pressure of Consumption at Different Spatial Levels. Journal of Industrial Ecology, 9: 169–185. doi: 10.1162/1088198054084699
- Issue published online: 8 FEB 2008
- Article first published online: 8 FEB 2008
- carbon dioxide (CO2);
- data envelopment analysis (DEA);
- environmental indicators;
- life-cycle thinking;
- structural economics
Input-output modeling is a useful tool for tracing environmental impacts of consumption. Because it includes impacts originating from production layers of infinite order (capturing the entire economy), input-output modeling is highly relevant for studies operating in a life-cycle context. In this article we show how the input-output approach can be used to enumerate the problem of sustainable consumption. Based on a literature survey including research done by the authors we present measures of the emissions of carbon dioxide at different spatial levels: nation, city, and household. Further, we take more environmental effects into account and introduce the concept of environmental efficiency by combining input-output modeling and data envelopment analysis. Finally, we discuss the policy relevance of the different measures. The article demonstrates that input-output modeling has a wide range of life-cycle oriented applications when combined with other data sources such as detailed trade statistics, foreign input-output and environmental statistics, and household expenditure data.