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Dematerialization Through Services: Evaluating the Evidence

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  • Blair Fix

    (York University)

Abstract

Dematerialization through services is a popular proposal for reducing environmental impact. The idea is that by shifting from the production of goods to the provision of services, a society can reduce its material demands. But do societies with a larger service sector actually dematerialize? I test the ‘dematerialization through services’ hypothesis with a focus on fossil fuel consumption and carbon emissions—the primary drivers of climate change. I find no evidence that a service transition leads to carbon dematerialization. Instead, a larger service sector is associated with greater use of fossil fuels and greater carbon emissions per person. This suggests that ‘dematerialization through services’ is not a valid sustainability policy.

Suggested Citation

  • Blair Fix, 2019. "Dematerialization Through Services: Evaluating the Evidence," Biophysical Economics and Resource Quality, Springer, vol. 4(2), pages 1-17, June.
    • Handle: RePEc:spr:bioerq:v:4:y:2019:i:2:d:10.1007_s41247-019-0054-y
    DOI: 10.1007/s41247-019-0054-y
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    3. Rögnvaldur Hannesson, 2021. "Are We Seeing Dematerialization of World GDP?," Biophysical Economics and Resource Quality, Springer, vol. 6(2), pages 1-6, June.
    4. C. Seri & A. de Juan Fernández, 2023. "CO2 emissions and income growth in Latin America: long-term patterns and determinants," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(5), pages 4491-4524, May.
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    9. Andrew Leigh, 2021. "Putting the Australian Economy on the Scales," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 54(1), pages 19-35, March.
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