An analysis of CO 2 emissions of Japanese industries during the period between 1985 and 1995

Abstract

This paper examines the factors that have an effect on CO 2 emissions produced by Japanese industries between 1985 and 1995 by using input–output tables. The effects of environmental technological changes (ETC) and production technological changes (PTC) on CO 2 emissions are considered separately. Furthermore backward and forward linkage effects in each sector, that shows the extent to which each sector spreads or receives CO 2 emissions-impacts across all of sectors, will be calculated. The results show that both types of technologies contributed to a decrease in CO 2 emissions during the bubble economy of the late 1980s but not during the recession of the early 1990s. Trade factors succeeded in decreasing CO 2 emissions in both periods, thus trade structures facilitated the turning of Japan into a net importer of CO 2 emissions between 1985 and 1995. The backward and forward linkage effects also decreased during the boom of the late in 1980s but not the recession of the early 1990s, while the chemical products and electrical machinery sectors continued to reduce both effects. This indicates that both sectors were relatively successful in decreasing their CO 2 emissions-impacts between 1985 and 1995.