Transportation, storage and GHG emissions: A new perspective of input-output subsystem analysis

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Transportation, storage and GHG emissions: A new perspective of input-output subsystem analysis

Andrés, Lidia / Alcántara, Vicent / Padilla, Emilio

Highlights • Input-output subsystem analysis based on Ghosh model is developed. • This supply-driven model is extended to study the subsystem’s GHG emissions. • An empirical analysis of GHG emissions applied to transport sector is carried out. • The supply-driven model is complementary of the demand-driven model. • Both models better identify activities responsible for the subsystem emissions.

Abstract We develop an input–output subsystem analysis based on the Ghosh model to study the emissions of a sector given the productive structure of the economy. Our method complements the traditional subsystem analysis based on the demand-driven model by considering the emissions associated to the primary inputs of the subsystem. This is particularly relevant to study the emissions associated to the activity of sectors that produce mainly for other sectors. We apply both methodologies to analyze the transportation and storage subsystem emissions in Spain in 2014. The outcomes from the demand-driven model point to land and air transport as the main responsible for subsystem emissions, while the supply-driven model also considers storage sector as significant in explaining the subsystem emissions. When intermediate demand is relevant, the consideration of both models helps to better identify the activities responsible for the subsystem emissions, allowing for more accurate policy recommendations.