This paper reviews the results of a structural decomposition analysis in which the annual changes in a number of air pollutants and solid waste are decomposed according to their causes. The analysis in this paper is applied with the help of the so-called National Accounting Matrix including Environmental Accounts (NAMEA) for the Netherlands, covering annual data for the period 1987-1998. In a sensitivity analysis it is shown that the average of any pair of so-called 'mirror image' decomposition forms will substantially reduce the variation in the estimates. These mirror image couples are approximately just as reliable as the full average of all decomposition forms. Besides reliable results, the full average also foresees the mutual comparability between the distinguished change factors and is therefore applied in the empirical analyses presented in this paper. The results of these analyses contain the macro-economic developments, results on the industry level as well as a comprehensive overview of the origin and destination of pollution in the Dutch economy that includes the environmental consequences of consumption and international trade.Structural Decomposition Analysis, National Accounting Matrix, Environmental Accounts, Namea,

The National Accounting Matrix including Environmental Accounts (NAMEA) shows environmental burdens that are consistent with the economic figures in the national accounts. In the NAMEA, the existing national accounts matrix has been extended with accounts in physical units. On the basis of the expected contribution of each polluting substance to a particular environmental problem, emissions are converted to theme equivalents. This results in six summary environmental indicators that are directly comparable to the conventional economic aggregates. In addition, this meso‐level information system can be used as the core data framework for integrated analyses and forecasts of economic and environmental changes.

The international handbook on integrated environmental and economic accounting (SEEA‐2003) provides a detailed overview of environmental accounting approaches that have been developed in parallel with the system of national (economic) accounts. In addition to natural resource stock accounts and environmental protection expenditure accounts, SEEA‐2003 pays considerable attention to physical flow accounting. Expanding the national economic accounts with physical data sets facilitates the joint analysis of environmental and economic policy issues. This article discusses the main characteristics of national accounts‐oriented physical flow accounting approaches and provides an overview of the kind of indicators they may put forward. Although this article is not an attempt to provide a comprehensive review of macrooriented physical flow accounting approaches, the analytical advantages of national accounts‐oriented physical flow accounts are illustrated.

The national accounting matrix including environmental accounts (NAMEA) contains figures on environmental burdens in relation to economic developments as reflected in the national accounts. In the NAMEA, existing national accounts matrices have been extended with accounts in physical units. Since 1994, the NAMEA is a regular part of the annual Dutch national accounts. In this article, an aggregate NAMEA will be described. Next, the contribution of economic activities to economic indicators is compared with their contribution to environmental themes, both based on the information in the NAMEA. In addition, the cumulative contribution of economic activities to economic and environmental indicators are also given, thus taking into account the relations between the production activities. Finally, a number of recent applications and extensions of the NAMEA in the Netherlands are described.

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