IDEAS home Printed from https://ideas.repec.org/p/rpi/rpiwpe/0424.html
   My bibliography  Save this paper

Input-Output Economics and Material Flows

Author

Listed:
  • Faye Duchin

    () (Department of Economics, Rensselaer Polytechnic Institute, Troy, NY 12180-3590, USA.)

Abstract

This paper argues that resources constitute the fundamental area of overlap between the interests of input-output economists and industrial ecologists. Three misconceptions about input-output economics obscure this fact: the frequent failure to utilize combined quantity and price input-output models, treatment of value-added as a monetary concept only, and the belief that all input-output models assume a linear relationship between output and final deliveries. The paper dispels these misconceptions by describing a quantity input-output model with resources measured in physical units and the corresponding price model with both resource prices and product prices. The model is illustrated with a numerical example of a hypothetical economy and analysis of a scenario where that economy is subsequently obliged to extract a lower grade of ore. Then three other input-output models are presented: a model closed for household consumption, a dynamic model, and a model of the world economy. Unlike the basic model, the last two are non-linear in final deliveries and in factor prices while also retaining the desirable features of the basic model.

Suggested Citation

  • Faye Duchin, 2004. "Input-Output Economics and Material Flows," Rensselaer Working Papers in Economics 0424, Rensselaer Polytechnic Institute, Department of Economics.
  • Handle: RePEc:rpi:rpiwpe:0424
    as

    Download full text from publisher

    File URL: http://www.economics.rpi.edu/workingpapers/rpi0424.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Duchin, Faye, 1990. "The conversion of biological materials and wastes to useful products," Structural Change and Economic Dynamics, Elsevier, vol. 1(2), pages 243-261, December.
    2. Duchin, Faye & Lange, Glenn-Marie, 1998. "Prospects for the recycling of plastics in the United States," Structural Change and Economic Dynamics, Elsevier, vol. 9(3), pages 307-331, September.
    3. Leontief, Wassily & Duchin, Faye, 1986. "The Future Impact of Automation on Workers," OUP Catalogue, Oxford University Press, number 9780195036237.
    4. Duchin, Faye & Lange, Glenn-Marie, 1995. "The Future of the Environment: Ecological Economics and Technological Change," OUP Catalogue, Oxford University Press, number 9780195085747.
    5. Edler, Dietmar & Ribakova, Tatjana, 1993. "The Leontief-Duchin-Szyld dynamic input-output model with reduction of idle capacity and modified decision function," Structural Change and Economic Dynamics, Elsevier, vol. 4(2), pages 279-297, December.
    6. Pyatt, Graham, 1988. "A SAM approach to modeling," Journal of Policy Modeling, Elsevier, vol. 10(3), pages 327-352.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Stanislav Edward Shmelev (ODID), "undated". "Environmentally Extended Input-Output Analysis of the UK Economy: Key Sector Analysis," QEH Working Papers qehwps183, Queen Elizabeth House, University of Oxford.
    2. Kratena, Kurt, 2008. "From ecological footprint to ecological rent: An economic indicator for resource constraints," Ecological Economics, Elsevier, vol. 64(3), pages 507-516, January.
    3. Brizga, Janis & Feng, Kuishuang & Hubacek, Klaus, 2017. "Household carbon footprints in the Baltic States: A global multi-regional input–output analysis from 1995 to 2011," Applied Energy, Elsevier, vol. 189(C), pages 780-788.
    4. Wenzel, Lars & Wolf, André, 2013. "Protection against major catastrophes: An economic perspective," HWWI Research Papers 137, Hamburg Institute of International Economics (HWWI).
    5. Taelim Choi & Randall W. Jackson & Nancey Green Leigh, 2009. "Constructing a Baseline Input-Output Model with Environmental Accounts (IOEA)," Working Papers Working Paper 2009-03, Regional Research Institute, West Virginia University.
    6. Malik, Arunima & Lenzen, Manfred & Ely, Rômulo Neves & Dietzenbacher, Erik, 2014. "Simulating the impact of new industries on the economy: The case of biorefining in Australia," Ecological Economics, Elsevier, vol. 107(C), pages 84-93.

    More about this item

    JEL classification:

    • Q31 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Demand and Supply; Prices
    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rpi:rpiwpe:0424. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Shawn Kantor). General contact details of provider: http://edirc.repec.org/data/derpius.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.