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Carbon Dioxide Emissions in the U.S. Economy: A Structural Decomposition Analysis


  • Stephen Casler
  • Adam Rose



This paper provides an empirical analysis of the impact of various influences on carbon dioxide emissions. It incorporates methodological refinements of input-output structural decomposition analysis, which is the examination of economic change by means of a set of comparative static variations in key parameters of I-O tables. The analysis is performed using a two-tiered KLEM model, which allows for estimation of substitution and technological change effects within and between input aggregates. The model is used to decompose the sources of change in CO 2 emissions in the U.S. over the 1972–82 timeframe using hybrid energy/value tables for the initial and terminal years. Results show the significant effect of substitution within the energy sector and between energy and other inputs as the leading causes of the decline in carbon dioxide emissions. Copyright Kluwer Academic Publishers 1998

Suggested Citation

  • Stephen Casler & Adam Rose, 1998. "Carbon Dioxide Emissions in the U.S. Economy: A Structural Decomposition Analysis," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 349-363, April.
  • Handle: RePEc:kap:enreec:v:11:y:1998:i:3:p:349-363
    DOI: 10.1023/A:1008224101980

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    References listed on IDEAS

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    Cited by:

    1. Duarte, Rosa & Mainar, Alfredo & Sánchez-Chóliz, Julio, 2013. "The role of consumption patterns, demand and technological factors on the recent evolution of CO2 emissions in a group of advanced economies," Ecological Economics, Elsevier, vol. 96(C), pages 1-13.
    2. Okushima, Shinichiro & Tamura, Makoto, 2010. "What causes the change in energy demand in the economy?: The role of technological change," Energy Economics, Elsevier, vol. 32(Supplemen), pages 41-46, September.
    3. Okushima, Shinichiro & Tamura, Makoto, 2007. "Multiple calibration decomposition analysis: Energy use and carbon dioxide emissions in the Japanese economy, 1970-1995," Energy Policy, Elsevier, vol. 35(10), pages 5156-5170, October.
    4. Zhou, P. & Ang, B.W., 2008. "Decomposition of aggregate CO2 emissions: A production-theoretical approach," Energy Economics, Elsevier, vol. 30(3), pages 1054-1067, May.
    5. Mundaca T., Luis & Markandya, Anil & Nørgaard, Jørgen, 2013. "Walking away from a low-carbon economy? Recent and historical trends using a regional decomposition analysis," Energy Policy, Elsevier, vol. 61(C), pages 1471-1480.
    6. Erik Dietzenbacher & Jesper Stage, 2006. "Mixing oil and water? Using hybrid input-output tables in a Structural decomposition analysis," Economic Systems Research, Taylor & Francis Journals, vol. 18(1), pages 85-95.
    7. Marin, Giovanni & Mazzanti, Massimiliano, 2009. "Emissions Trends, Labour Productivity Dynamics and Time-Related Events - Sector Heterogeneous Analyses of Decoupling/Recoupling on a 1990-2006 NAMEA," MPRA Paper 20087, University Library of Munich, Germany.
    8. Chen, Zhenhua & Xue, Junbo & Rose, Adam Z. & Haynes, Kingsley E., 2016. "The impact of high-speed rail investment on economic and environmental change in China: A dynamic CGE analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 92(C), pages 232-245.
    9. Mundaca, Luis & Markandya, Anil, 2016. "Assessing regional progress towards a ‘Green Energy Economy’," Applied Energy, Elsevier, vol. 179(C), pages 1372-1394.
    10. Okushima, Shinichiro & Tamura, Makoto, 2011. "Identifying the sources of energy use change: Multiple calibration decomposition analysis and structural decomposition analysis," Structural Change and Economic Dynamics, Elsevier, vol. 22(4), pages 313-326.
    11. Margarida R. Alves & Victor Moutinho, 2013. "Decomposition analysis for energy-related CO2 emissions intensity over 1996-2009 in Portuguese Industrial Sectors," CEFAGE-UE Working Papers 2013_10, University of Evora, CEFAGE-UE (Portugal).
    12. J., Pablo Muñoz & Hubacek, Klaus, 2008. "Material implication of Chile's economic growth: Combining material flow accounting (MFA) and structural decomposition analysis (SDA)," Ecological Economics, Elsevier, vol. 65(1), pages 136-144, March.
    13. Liaskas, K. & Mavrotas, G. & Mandaraka, M. & Diakoulaki, D., 2000. "Decomposition of industrial CO2 emissions:: The case of European Union," Energy Economics, Elsevier, vol. 22(4), pages 383-394, August.
    14. Giovanni Marin & Massimiliano Mazzanti, 2013. "The evolution of environmental and labor productivity dynamics," Journal of Evolutionary Economics, Springer, vol. 23(2), pages 357-399, April.
    15. He, Hongming & Jim, C.Y., 2012. "Coupling model of energy consumption with changes in environmental utility," Energy Policy, Elsevier, vol. 43(C), pages 235-243.
    16. Shigemi Kagawa & Hajime Inamura, 2004. "A Spatial Structural Decomposition Analysis of Chinese and Japanese Energy Demand: 1985-1990," Economic Systems Research, Taylor & Francis Journals, vol. 16(3), pages 279-299.
    17. Ling Wang & Zhongchang Chen & Dalai Ma & Pei Zhao, 2013. "Measuring Carbon Emissions Performance in 123 Countries: Application of Minimum Distance to the Strong Efficiency Frontier Analysis," Sustainability, MDPI, Open Access Journal, vol. 5(12), pages 1-14, December.
    18. Liang, Sai & Zhang, Tianzhu, 2011. "What is driving CO2 emissions in a typical manufacturing center of South China? The case of Jiangsu Province," Energy Policy, Elsevier, vol. 39(11), pages 7078-7083.
    19. Zhao, Min & Tan, Lirong & Zhang, Weiguo & Ji, Minhe & Liu, Yuan & Yu, Lizhong, 2010. "Decomposing the influencing factors of industrial carbon emissions in Shanghai using the LMDI method," Energy, Elsevier, vol. 35(6), pages 2505-2510.
    20. Oshita, Yuko, 2012. "Identifying critical supply chain paths that drive changes in CO2 emissions," Energy Economics, Elsevier, vol. 34(4), pages 1041-1050.
    21. Su, Bin & Ang, B.W., 2012. "Structural decomposition analysis applied to energy and emissions: Some methodological developments," Energy Economics, Elsevier, vol. 34(1), pages 177-188.
    22. Roach, Travis, 2013. "A dynamic state-level analysis of carbon dioxide emissions in the United States," Energy Policy, Elsevier, vol. 59(C), pages 931-937.


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