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A hybrid input–output multi-objective model to assess economic–energy–environment trade-offs in Brazil

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  • Carvalho, Ariovaldo Lopes de
  • Antunes, Carlos Henggeler
  • Freire, Fausto
  • Henriques, Carla Oliveira

Abstract

A multi-objective linear programming (MOLP) model based on a hybrid Input–Output (IO) framework is presented. This model aims at assessing the trade-offs between economic, energy, environmental (E3) and social objectives in the Brazilian economic system. This combination of multi-objective models with Input–Output Analysis (IOA) plays a supplementary role in understanding the interactions between the economic and energy systems, and the corresponding impacts on the environment, offering a consistent framework for assessing the effects of distinct policies on these systems. Firstly, the System of National Accounts (SNA) is reorganized to include the National Energy Balance, creating a hybrid IO framework that is extended to assess Greenhouse Gas (GHG) emissions and the employment level. The objective functions considered are the maximization of GDP (gross domestic product) and employment levels, as well as the minimization of energy consumption and GHG emissions. An interactive method enabling a progressive and selective search of non-dominated solutions with distinct characteristics and underlying trade-offs is utilized. Illustrative results indicate that the maximization of GDP and the employment levels lead to an increase of both energy consumption and GHG emissions, while the minimization of either GHG emissions or energy consumption cause negative impacts on GDP and employment.

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  • Carvalho, Ariovaldo Lopes de & Antunes, Carlos Henggeler & Freire, Fausto & Henriques, Carla Oliveira, 2015. "A hybrid input–output multi-objective model to assess economic–energy–environment trade-offs in Brazil," Energy, Elsevier, vol. 82(C), pages 769-785.
  • Handle: RePEc:eee:energy:v:82:y:2015:i:c:p:769-785
    DOI: 10.1016/j.energy.2015.01.089
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    1. Yi Yang & Beibei Liu & Peng Wang & Wei‐Qiang Chen & Timothy M. Smith, 2020. "Toward sustainable climate change adaptation," Journal of Industrial Ecology, Yale University, vol. 24(2), pages 318-330, April.
    2. Zhengtao Zhang & Ning Li & Peng Cui & Hong Xu & Yuan Liu & Xi Chen & Jieling Feng, 2019. "How to Integrate Labor Disruption into an Economic Impact Evaluation Model for Postdisaster Recovery Periods," Risk Analysis, John Wiley & Sons, vol. 39(11), pages 2443-2456, November.
    3. de Carvalho, Ariovaldo Lopes & Henggeler Antunes, Carlos & Freire, Fausto & Oliveira Henriques, Carla, 2016. "A multi-objective interactive approach to assess economic-energy-environment trade-offs in Brazil," Renewable and Sustainable Energy Reviews, Elsevier, vol. 54(C), pages 1429-1442.
    4. Boglioni, Michele & Zambelli, Stefano, 2018. "Specialization patterns and reduction of CO2 emissions. An empirical investigation of environmental preservation and economic efficiency," Energy Economics, Elsevier, vol. 75(C), pages 134-149.
    5. Singh, Vivek Kumar & Henriques, Carla Oliveira & Martins, António Gomes, 2018. "Fostering investment on energy efficient appliances in India–A multi-perspective economic input-output lifecycle assessment," Energy, Elsevier, vol. 149(C), pages 1022-1035.
    6. Lima, Fátima & Nunes, Manuel Lopes & Cunha, Jorge & Lucena, André F.P., 2016. "A cross-country assessment of energy-related CO2 emissions: An extended Kaya Index Decomposition Approach," Energy, Elsevier, vol. 115(P2), pages 1361-1374.
    7. Hamilton, Thomas Gerard Adam & Kelly, Scott, 2017. "Low carbon energy scenarios for sub-Saharan Africa: An input-output analysis on the effects of universal energy access and economic growth," Energy Policy, Elsevier, vol. 105(C), pages 303-319.
    8. de Carvalho, Ariovaldo Lopes & Antunes, Carlos Henggeler & Freire, Fausto, 2016. "Economic-energy-environment analysis of prospective sugarcane bioethanol production in Brazil," Applied Energy, Elsevier, vol. 181(C), pages 514-526.
    9. Soares, N. & Martins, A.G. & Carvalho, A.L. & Caldeira, C. & Du, C. & Castanheira, É. & Rodrigues, E. & Oliveira, G. & Pereira, G.I. & Bastos, J. & Ferreira, J.P. & Ribeiro, L.A. & Figueiredo, N.C. & , 2018. "The challenging paradigm of interrelated energy systems towards a more sustainable future," Renewable and Sustainable Energy Reviews, Elsevier, vol. 95(C), pages 171-193.
    10. Duarte, Rosa & Langarita, Raquel & Sánchez-Chóliz, Julio, 2017. "The electricity industry in Spain: A structural analysis using a disaggregated input-output model," Energy, Elsevier, vol. 141(C), pages 2640-2651.
    11. Laha, Priyanka & Chakraborty, Basab, 2017. "Energy model – A tool for preventing energy dysfunction," Renewable and Sustainable Energy Reviews, Elsevier, vol. 73(C), pages 95-114.
    12. Cholapat Jongdeepaisal & Seigo Nasu, 2018. "Economic Impact Evaluation of a Biomass Power Plant Using a Technical Coefficient Pre-Adjustment in Hybrid Input-Output Analysis," Energies, MDPI, Open Access Journal, vol. 11(3), pages 1-11, March.

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