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Consumption Growth Accounting

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  • Erik Dietzenbacher
  • Olaf J. de Groot
  • Bart Los

Abstract

The methodology in this paper combines an input-output structural decomposition approach with the supply-side perspective of mainstream growth accounting. In explaining the intertemporal change in consumption per worker, three sets of effects are distinguished. First, contributions due to several types of technological changes are considered. Second, effects caused by changes in international trade are discerned. Third, composition effects that reflect structural shifts in demand (including changes in tastes) are quantified. As an empirical illustration, we analyze the developments in the U.K. between 1979 and 1990. Copyright © 2007 The Authors; Journal compilation © International Association for Research in Income and Wealth 2007.

Suggested Citation

  • Erik Dietzenbacher & Olaf J. de Groot & Bart Los, 2007. "Consumption Growth Accounting," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 53(3), pages 422-439, September.
  • Handle: RePEc:bla:revinw:v:53:y:2007:i:3:p:422-439
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    Cited by:

    1. Su, Bin & Ang, B.W., 2015. "Multiplicative decomposition of aggregate carbon intensity change using input–output analysis," Applied Energy, Elsevier, vol. 154(C), pages 13-20.
    2. Martin Labaj, 2011. "Qualitative input-output analysis and national innovation system in Slovakia," International Journal of Transitions and Innovation Systems, Inderscience Enterprises Ltd, vol. 1(2), pages 105-116.

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