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Ecological Footprint Inequality across countries: the role of environment intensity, income and interaction effects

  • Juan Antonio Duro

    ()

    (Department of Economics, CREIP and XREAP, Rovira i Virgili University)

  • Jordi Teixidó-Figueras

    ()

    (Department of Economics, CREIP and XREAP, Rovira i Virgili University)

Recently, White (2007) analysed the international inequalities in Ecological Footprints per capita (EF hereafter) based on a two-factor decomposition of an index from the Atkinson family (Atkinson (1970)). Specifically, this paper evaluated the separate role of environment intensity (EF/GDP) and average income as explanatory factors for these global inequalities. However, in addition to other comments on their appeal, this decomposition suffers from the serious limitation of the omission of the role exerted by probable factorial correlation (York et al. (2005)). This paper proposes, by way of an alternative, a decomposition of a conceptually similar index like Theil’s (Theil, 1967) which, in effect, permits clear decomposition in terms of the role of both factors plus an inter-factor correlation, in line with Duro and Padilla (2006). This decomposition might, in turn, be extended to group inequality components (Shorrocks, 1980), an analysis that cannot be conducted in the case of the Atkinson indices. The proposed methodology is implemented empirically with the aim of analysing the international inequalities in EF per capita for the 1980-2007 period and, amongst other results, we find that, indeed, the interactive component explains, to a significant extent, the apparent pattern of stability observed in overall international inequalities.

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File URL: http://www.pcb.ub.edu/xreap/aplicacio/fitxers/XREAP2012-17.pdf
File Function: First version, 2012
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File URL: http://www.pcb.ub.edu/xreap/aplicacio/fitxers/XREAP2012-17.pdf
File Function: Revised version, 2012
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Paper provided by Xarxa de Referència en Economia Aplicada (XREAP) in its series Working Papers with number XREAP2012-17.

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Length: 32 pages
Date of creation: Oct 2012
Date of revision: Oct 2012
Handle: RePEc:xrp:wpaper:xreap2012-17
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  1. van den Bergh, Jeroen C. J. M. & Verbruggen, Harmen, 1999. "Spatial sustainability, trade and indicators: an evaluation of the 'ecological footprint'," Ecological Economics, Elsevier, vol. 29(1), pages 61-72, April.
  2. Teixidó Figueras, Jordi & Duro Moreno, Juan Antonio, 2012. "Ecological Footprint Inequality: A methodological review and some results," Working Papers 2072/203168, Universitat Rovira i Virgili, Department of Economics.
  3. Shorrocks, A F, 1982. "Inequality Decomposition by Factor Components," Econometrica, Econometric Society, vol. 50(1), pages 193-211, January.
  4. Duro, Juan Antonio & Padilla, Emilio, 2006. "International inequalities in per capita CO2 emissions: A decomposition methodology by Kaya factors," Energy Economics, Elsevier, vol. 28(2), pages 170-187, March.
  5. Duro Moreno, Juan Antonio, 2010. "On the automatic application of inequality indexes in the analysis of the international distribution of environmental indicators," Working Papers 2072/151617, Universitat Rovira i Virgili, Department of Economics.
  6. Hedenus, Fredrik & Azar, Christian, 2005. "Estimates of trends in global income and resource inequalities," Ecological Economics, Elsevier, vol. 55(3), pages 351-364, November.
  7. White, Thomas J., 2007. "Sharing resources: The global distribution of the Ecological Footprint," Ecological Economics, Elsevier, vol. 64(2), pages 402-410, December.
  8. Bourguignon, Francois, 1979. "Decomposable Income Inequality Measures," Econometrica, Econometric Society, vol. 47(4), pages 901-20, July.
  9. Andersson, Jan Otto & Lindroth, Mattias, 2001. "Ecologically unsustainable trade," Ecological Economics, Elsevier, vol. 37(1), pages 113-122, April.
  10. Atkinson, Anthony B., 1970. "On the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 2(3), pages 244-263, September.
  11. Steinberger, Julia K. & Krausmann, Fridolin & Eisenmenger, Nina, 2010. "Global patterns of materials use: A socioeconomic and geophysical analysis," Ecological Economics, Elsevier, vol. 69(5), pages 1148-1158, March.
  12. Shorrocks, A F, 1980. "The Class of Additively Decomposable Inequality Measures," Econometrica, Econometric Society, vol. 48(3), pages 613-25, April.
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