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Economic and environmental impacts of agricultural and rural development projects in Japan: evidence from an interregional input–output analysis

Author

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  • Tatsuki Ueda

    (National Agriculture and Food Research Organization)

  • Yoji Kunimitsu

    (National Agriculture and Food Research Organization)

Abstract

Over the past centuries, Japan has developed a distinguished system for irrigated rice culture through cooperation of civil engineering and farming. This system has evolved into public works called the Agricultural Infrastructure Improvement and Rural Development Projects (A&R). We investigated the economic and environmental impacts of A&R using an interregional input–output (IRIO) analysis, with a limited scope on the construction stage. We incorporated an unpublished database on A&R into published IRIO tables to compile a public-work (PW) extended IRIO. The results showed that: (1) PW, particularly A&R, had greater impacts on regional economies of remote regions; and (2) major GHG-emitting input sectors included construction materials, oil/coal products, electricity, transport, as well as fossil-fuel consumptions by PW themselves. Furthermore, scenario analyses, in which PW sectors must suffer a budget cut, were conducted. The results suggested that the national government may well choose different budget allocations according to their objectives. If they aimed to minimize regional discrepancies in economic development, then lighter budget cuts should be imposed on remote regions. Meanwhile, if they aimed at minimizing the losses of National Total Outputs or maximizing the national GHG reduction, then they would face a trade-off, which stemmed from a strong proportional linkage between the outputs and the GHG emissions of PW. To moderate such a trade-off, technological structures of PW should be innovated, including: (1) increase energy efficiency (i.e., reduce consumption of electricity and fossil fuels); (2) reduce construction materials where possible or procure low emission-intensive materials; and (3) reduce wasted materials.

Suggested Citation

  • Tatsuki Ueda & Yoji Kunimitsu, 2017. "Economic and environmental impacts of agricultural and rural development projects in Japan: evidence from an interregional input–output analysis," Asia-Pacific Journal of Regional Science, Springer, vol. 1(2), pages 399-426, October.
    • Handle: RePEc:spr:apjors:v:1:y:2017:i:2:d:10.1007_s41685-017-0044-2
    DOI: 10.1007/s41685-017-0044-2
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    References listed on IDEAS

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    1. Nässén, Jonas & Holmberg, John & Wadeskog, Anders & Nyman, Madeleine, 2007. "Direct and indirect energy use and carbon emissions in the production phase of buildings: An input–output analysis," Energy, Elsevier, vol. 32(9), pages 1593-1602.
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    Cited by:

    1. Bin Liu & Chan Lu & Chun Yi, 2023. "Research on Green and Low-Carbon Rural Development in China: A Scientometric Analysis Using CiteSpace (1979–2021)," Sustainability, MDPI, vol. 15(3), pages 1-16, January.
    2. Canh Thi Nguyen, 2019. "Using Solow and I–O models to determine the factors impacting economic growth in Ho Chi Minh City, Vietnam," Asia-Pacific Journal of Regional Science, Springer, vol. 3(1), pages 247-271, February.

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