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Technology-adjusted national carbon accounting for a greener trade pattern

Author

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  • Zhang, Zengkai

Abstract

Crediting green trade patterns is essential for effective national carbon accounting. Neither production- nor consumption-based accounting satisfies this condition. Thus, Kander et al. [Kander, A., Jiborn, M., Moran, D.D., Wiedmann, T.O., 2015. National greenhouse-gas accounting for effective climate policy on international trade. Nature Climate Chang. 5(5):431–435.] proposed a technology-adjusted consumption-based carbon accounting method that focuses on interregional differences in sectoral carbon intensity. The intermediate input structure is also closely related to the production technology level. Therefore, this study recommends a new technology-adjusted consumption-based carbon accounting framework that distinguishes between direct and cumulative exports, forward and backward industrial linkages, and different trade patterns. Based on the consideration that production-based accounting will remain the core indicator for regional emissions in the near future, this study proposes a technology-adjusted production-based accounting framework. The empirical study is based on the World Input-Output Database, and the results indicate that technology-adjusted carbon accounting will redraw the global emissions map if the intermediate input linkage is considered. The technology-adjusted carbon accounting method satisfies the conditions of additivity, sensitivity, monotonicity, and scale invariance, through proper selection of the world average emissions multipliers.

Suggested Citation

  • Zhang, Zengkai, 2018. "Technology-adjusted national carbon accounting for a greener trade pattern," Energy Economics, Elsevier, vol. 73(C), pages 274-285.
  • Handle: RePEc:eee:eneeco:v:73:y:2018:i:c:p:274-285
    DOI: 10.1016/j.eneco.2018.05.025
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    Cited by:

    1. Aldy Darwili & Enno Schröder, 2023. "On the Interpretation and Measurement of Technology-Adjusted Emissions Embodied in Trade," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 84(1), pages 65-98, January.

    More about this item

    Keywords

    Carbon accounting; Intermediate input structure; Technology adjustment; Trade pattern; Input-output model;
    All these keywords.

    JEL classification:

    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • F18 - International Economics - - Trade - - - Trade and Environment
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • 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
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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