Quo Vadis MRIO? Methodological, data and institutional requirements for multi-region input–output analysis

Wiedmann, Thomas; Wilting, Harry C.; Lenzen, Manfred; Lutter, Stephan; Palm, Viveka

doi:10.1016/j.ecolecon.2011.06.014

Cited by 339 publications

(206 citation statements)

References 62 publications

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“…The remarkable development in MRIO databases (Tukker and Dietzenbacher 2013 ;Wiedmann et al 2011 ) has been accompanied by an equally impressive number of publications studying the impacts of globalisation and trade. Some studies have begun comparing the results obtained from different models, fi nding reasonable agreement as well as signifi cant discrepancies for certain indictors (e.g.…”

Section: Addressing Uncertainty In Mrio Modellingmentioning

confidence: 99%

“…In other words, the 'cradle-to-gate' life cycle becomes longer, more convoluted and more diffi cult to assess. Increasingly sophisticated global models have had to be developed to evaluate impacts embodied in global supply chains (Tukker and Dietzenbacher 2013 ;Wiedmann 2009 ;Wiedmann et al 2007Wiedmann et al , 2011. Most of the growth in trade value, volume and complexity occurred in the last couple of decades only.…”

Section: Introductionmentioning

confidence: 99%

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Impacts Embodied in Global Trade Flows

Wiedmann

2016

Taking Stock of Industrial Ecology

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The steep and unprecedented growth of globalisation and trade over the last few decades has led to accelerated economic activity with mixed outcomes. Continued economic growth and alleviation of poverty in many countries has been accompanied with an overall increase and shifting of environmental pressures between countries. Industrial ecology research has contributed decisively to the knowledge around impacts in trade. This chapter summarises the latest empirical fi ndings on global change instigated by trade, discusses new methodological developments and refl ects on the sustainability of globalised production and consumption. Signifi cant proportions of up to 64 % of total environmental, social and economic impacts can be linked to international trade. Impacts embodied in trade have grown much more rapidly than their total global counterparts. Policies aimed at increasing the sustainability of production and consumption need to go beyond domestic regulation and seek international cooperation to target production practices for exports worldwide.

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Section: Addressing Uncertainty In Mrio Modellingmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Impacts Embodied in Global Trade Flows

Wiedmann

2016

Taking Stock of Industrial Ecology

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“…As recent reviews highlight, there is considerable uncertainty surrounding the measurement of EET (Wiedmann et al, 2011), and comparing across studies reveals a large variation in EET estimates (Sato, 2013). This is largely due to the fact that underlying data, methodology and choice of methods all suffer issues with accuracy and different methods are used for EET quantification with varying definitions and application of trade balances (Kanemoto et al, 2012b).…”

Section: Introductionmentioning

confidence: 99%

“…Kitzes et al, 2009;Liu & Wang, 2009;Peters, 2008c;Wiedmann, 2009c;Sato, 2013;Wiedmann et al, 2011). Most studies use an input-output framework to capture indirect effects, either within a single region context (e.g.…”

Section: Introductionmentioning

confidence: 99%

Product level embodied carbon flows in bilateral trade

Sato

2014

Ecological Economics

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As increasingly complex modelling approaches to quantifying embodied carbon in trade have become popular, the lack of disaggregation has been identified as a key weakness. This paper quantifies embodied carbon in bilateral trade at the product level. This is done using the material balance approach, by collecting product carbon intensity factors from multiple data sources and combining with bilateral trade data in physical quantities. The dataset covers trades between 195 countries for 1080 products in 2006. The detailed mapping of trade embodied carbon provides detailed insights into the nature of the flows that were previously masked or under-reported. For example, it finds that the lion's share of global trade embodied emissions are concentrated in a relatively small number of product categories, suggesting that focusing mitigation efforts and trade-measures on these products would be an effective strategy to address potential carbon leakage, and to decarbonise international supply chains. The results also highlight that embodied carbon is focused in regional trade, thus regional harmonisation of climate mitigation policy will be effective in mitigating leakage.

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“…It will rather use existing databases, gathering information in the same metric. According to Wiedmann et al (2011), the databases AIIOT (IDE-JETRO 2006), Eora (Lenzen et al 2010), EXIOPOL (Tukker et al 2009), GTAP 7 (Narayanan and Walmsley 2008), WIOD (University of Groningen 2010), quantifying the environment impacts of goods and services in terms of regions and sectors, have a budget ranging Bfrom 500 000 AU $+ 250 000 AU $ / year for Eora (implementing compilation and updating capability + maintenance) to around 5 million Euros for EXIOPOL^ (Wiedmann et al 2011(Wiedmann et al , 1940. This is much less than the amounts evoked by McAusland and Najjar and leaves room for additional assessments in order to fill the most important data gaps.…”

Section: Associated Costsmentioning

confidence: 99%

From value-added tax to a damage and value-added tax partially based on life cycle assessment: principles and feasibility

Timmermans

Achten

2018

Int J Life Cycle Assess

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Purpose The purpose of this article is to examine the arguments in favor of a shift from value-added tax (VAT) or sales tax to a damage and value-added tax (DaVAT) partially based on the life cycle assessment (LCA) of goods and services. With this shift, goods and services that seriously harm the environment and human health will be priced up, those that impact them less will be priced down. The paper recalls the proposal made by De Camillis and Goralczyk (Int J Life Cycle Assess 18: [263][264][265][266][267][268][269][270][271][272] 2013) to differentiate the VAT rate associated with products according to their environmental impacts over their life cycle. The paper suggests a new way to convert VAT into DaVAT, examines the operating principles of such a system, and considers its practical feasibility. The new policy tool based on LCA presented is intended to be applied to every country wishing to reform its consumption tax system in order to strive for a more sustainable future. Some aspects specific to countries having the same currency, notably the Euro zone, are also discussed. Methods The proposal of De Camillis and Goralczyk is discussed from the perspective of both environmental performance and compliance with LCA standards. To overcome the identified difficulties, a new way of adapting VAT (or consumption taxes in general) according to LCA is suggested. The proposal relies on three essential points: (i) apply VAT (or consumption taxes in general) to all goods and services and reduce its multiple rates to one single low rate (e.g., 3%) called uniform VAT (UVAT); (ii) add to UVAT a per-unit tax called global damage tax (GDT) calculated on the basis of environmental impacts assessed by means of specific or generic LCAs. In the case of potentially high-polluting products or industries, a specific LCA will be automatically imposed. The obligation to assess high-polluting activities already exists in many countries with, e.g., environmental impact studies, but the impacts are not necessarily evaluated by LCA; (iii) in order to reflect environmental, social, or ethical concerns specific to a country, another damage tax termed specific damage tax (SDT) is proposed that extends beyond LCA. DaVAT is the sum of UVAT, GDT, and SDT. DaVAT is conceived not as an additional burden but rather as a shift of taxation, as the rate of the old consumption taxes can decrease proportionally to the increase of GDT. DaVAT is also designed in such a way that the erosion of tax revenues, when pollutant would decline, is offset by the extension of the tax to all goods and services and by the possibility to gradually re-increase the UVAT rate when the number of highly polluting products decreases. Results and discussion The proposal is examined first from a theoretical point of view by considering which principles should be used to comply with LCA standards and general requirements of (environmental) tax policies. Four general principles emerge: consistency in the choice of the functional unit and in the characterization, n...

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Quo Vadis MRIO? Methodological, data and institutional requirements for multi-region input–output analysis

Cited by 339 publications

References 62 publications

Impacts Embodied in Global Trade Flows

Impacts Embodied in Global Trade Flows

Product level embodied carbon flows in bilateral trade

From value-added tax to a damage and value-added tax partially based on life cycle assessment: principles and feasibility

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