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Does offshoring contribute to reducing domestic air emissions? Evidence from Belgian manufacturing

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  • Michel, Bernhard

Abstract

Since the mid-90s, production-related air emissions in Belgian manufacturing have fallen substantially and it can be shown that the pace of the fall has been fastest for domestic intermediates. It is widely debated whether offshoring has played a role in this fall by replacing domestic intermediates by imported intermediates. This paper develops a decomposition analysis to measure the contribution of offshoring – the share of imported intermediates in total intermediates – to the fall in air emissions for domestic intermediates. Based on the results from this decomposition analysis, it was possible to calculate that 17% of the fall in greenhouse gas emissions, 6% of the fall in acidifying emissions and 7% of the fall in tropospheric precursor emissions in Belgian manufacturing between 1995 and 2007 can be attributed to offshoring.

Suggested Citation

  • Michel, Bernhard, 2013. "Does offshoring contribute to reducing domestic air emissions? Evidence from Belgian manufacturing," Ecological Economics, Elsevier, vol. 95(C), pages 73-82.
  • Handle: RePEc:eee:ecolec:v:95:y:2013:i:c:p:73-82
    DOI: 10.1016/j.ecolecon.2013.08.005
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    Cited by:

    1. Wang, H. & Ang, B.W. & Su, Bin, 2017. "Multiplicative structural decomposition analysis of energy and emission intensities: Some methodological issues," Energy, Elsevier, vol. 123(C), pages 47-63.
    2. repec:eee:eneeco:v:65:y:2017:i:c:p:137-147 is not listed on IDEAS
    3. Matthew A. COLE & Robert R.J. ELLIOTT & OKUBO Toshihiro & Liyun ZHANG, 2017. "The Pollution Outsourcing Hypothesis: An empirical test for Japan," Discussion papers 17096, Research Institute of Economy, Trade and Industry (RIETI).

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