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A Spatial Structural Decomposition Analysis of Chinese and Japanese Energy Demand: 1985-1990

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  • Shigemi Kagawa
  • Hajime Inamura

Abstract

This paper proposes a spatial structural decomposition analysis to measure the effects of the changes in intra- and inter-country linkages on the embodied energy demand in the concerned country. For the empirical analysis, we have used the China- Japan inter-country input-output tables for 1985 and 1990, expressed in constant prices of 1990. The empirical results reveal that (1) at least for the period between 1985 and 1990, the effects of the non-competitive input structural changes in China on the primary energy requirements of Japan were negligible, and (2) the contribution of the Japanese final demand shifts on the total change in Chinese primary energy demand was 40 times larger than that of the Chinese final demand shifts on the primary energy requirements of Japan. The Japanese policy makers should concentrate on the energy impacts of the changes in the domestic production structure rather than the changes in the Chinese production structure.

Suggested Citation

  • 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.
    • Handle: RePEc:taf:ecsysr:v:16:y:2004:i:3:p:279-299
    DOI: 10.1080/0953531042000239374
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    4. 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.
    5. 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.
    6. Nagashima, Fumiya, 2018. "The sign reversal problem in structural decomposition analysis," Energy Economics, Elsevier, vol. 72(C), pages 307-312.
    7. Hong, Jae Pyo & Byun, Jeong Eun & Kim, Pang Ryong, 2016. "Structural changes and growth factors of the ICT industry in Korea: 1995–2009," Telecommunications Policy, Elsevier, vol. 40(5), pages 502-513.
    8. Wu, Kaiyao & Shi, Jiyuan & Yang, Tinggan, 2017. "Has energy efficiency performance improved in China?—non-energy sectors evidence from sequenced hybrid energy use tables," Energy Economics, Elsevier, vol. 67(C), pages 169-181.
    9. Azlina Abdullah & Hussain Ali Bekhet, 2019. "Investigating the Driving Forces of Energy Intensity Change in Malaysia 1991-2010: A Structural Decomposition Analysis," International Journal of Energy Economics and Policy, Econjournals, vol. 9(4), pages 121-130.
    10. Biao Huang, 2018. "An exhaustible resources model in a dynamic input–output framework: a possible reconciliation between Ricardo and Hotelling," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 7(1), pages 1-24, December.
    11. 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.
    12. Wang, Miao & Feng, Chao, 2018. "Decomposing the change in energy consumption in China's nonferrous metal industry: An empirical analysis based on the LMDI method," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 2652-2663.
    13. Paul De Boer, 2008. "Additive Structural Decomposition Analysis and Index Number Theory: An Empirical Application of the Montgomery Decomposition," Economic Systems Research, Taylor & Francis Journals, vol. 20(1), pages 97-109.
    14. Mazzanti, Massimiliano & Montini, Anna, 2010. "Embedding the drivers of emission efficiency at regional level -- Analyses of NAMEA data," Ecological Economics, Elsevier, vol. 69(12), pages 2457-2467, October.
    15. 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.
    16. Andrea BONFIGLIO, 2005. "Sector Potentiality and Sources of Growth. An Analysis of Structural Changes in Italy in the Nineties," Working Papers 237, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    17. Wang, Yanqiu & Zhu, Zhiwei & Zhu, Zhaoge & Liu, Zhenbin, 2019. "Analysis of China's energy consumption changing using the Mean Rate of Change Index and the logarithmic mean divisia index," Energy, Elsevier, vol. 167(C), pages 275-282.
    18. Kulionis, Viktoras & Wood, Richard, 2020. "Explaining decoupling in high income countries: A structural decomposition analysis of the change in energy footprint from 1970 to 2009," Energy, Elsevier, vol. 194(C).
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    20. Kagawa, Shigemi & Nakamura, Shinichiro & Inamura, Hajime & Yamada, Masato, 2007. "Measuring spatial repercussion effects of regional waste management," Resources, Conservation & Recycling, Elsevier, vol. 51(1), pages 141-174.

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