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Finding environmentally critical transmission sectors, transactions, and paths in global supply chain networks

Author

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  • Hanaka, Tesshu
  • Kagawa, Shigemi
  • Ono, Hirotaka
  • Kanemoto, Keiichiro

Abstract

In this article, we develop an economic network analysis to find environmentally critical transmission sectors, transactions and paths in global supply chain networks. The edge betweenness centrality in the global supply chain networks is newly formulated and a relationship between edge betweenness centrality and vertex betweenness centrality is further provided. The empirical analysis based on the world input-output database covering 35 industrial sectors and 41 countries and regions in 2008 shows that specifically, China's Electrical and Optical Equipment sector, which has a higher edge and vertex betweenness centrality, is the most critical sector in global supply chain networks in terms of spreading CO2 emissions along its supply chain paths. We suggest greener supply chain engagement centered around the China's Electrical and Optical Equipment sector and other key sectors identified in this study.

Suggested Citation

  • Hanaka, Tesshu & Kagawa, Shigemi & Ono, Hirotaka & Kanemoto, Keiichiro, 2017. "Finding environmentally critical transmission sectors, transactions, and paths in global supply chain networks," Energy Economics, Elsevier, vol. 68(C), pages 44-52.
    • Handle: RePEc:eee:eneeco:v:68:y:2017:i:c:p:44-52
    DOI: 10.1016/j.eneco.2017.09.012
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    References listed on IDEAS

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    6. Li Huang & Scott Kelly & Xuan Lu & Kangjuan Lv & Xunpeng Shi & Damien Giurco, 2019. "Carbon Communities and Hotspots for Carbon Emissions Reduction in China," Sustainability, MDPI, vol. 11(19), pages 1-29, October.
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    8. Meihui Jiang, 2022. "Locating the Principal Sectors for Carbon Emission Reduction on the Global Supply Chains by the Methods of Complex Network and Susceptible–Infective Model," Sustainability, MDPI, vol. 14(5), pages 1-13, February.
    9. Wei Yang & Junnian Song, 2019. "Depicting Flows of Embodied Water Pollutant Discharge within Production System: Case of an Undeveloped Region," Sustainability, MDPI, vol. 11(14), pages 1-15, July.
    10. Xuechun Yang & Sai Liang & Jianchuan Qi & Cuiyang Feng & Shen Qu & Ming Xu, 2021. "Identifying sectoral impacts on global scarce water uses from multiple perspectives," Journal of Industrial Ecology, Yale University, vol. 25(6), pages 1503-1517, December.
    11. Maeno, Keitaro & Tokito, Shohei & Kagawa, Shigemi, 2022. "CO2 mitigation through global supply chain restructuring," Energy Economics, Elsevier, vol. 105(C).
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    More about this item

    Keywords

    Network analysis; Edge betweenness centrality; Vertex betweenness centrality; World input-output database; Global supply chain networks; CO2;
    All these keywords.

    JEL classification:

    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods
    • P18 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Energy; Environment

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