An input-output analysis of regional CO2 emissions from the service sector: an application to Liaoning Province of China

Abstract

Based on the input-output tables of Liaoning Province of China for 2007, this paper calculates direct and indirect CO2 emissions from the service sector. Total CO2 emissions of the service sector are decomposed into several effects, of which the spill-over and feedback effects are further decomposed into two parts: Energy Spill-over Effect (ESE) and Remnant Spill-over Effect (RSE); energy feedback effect and remnant feedback effect. The research shows indirect CO2 emissions derived from final demand of the service sector are far more than direct CO2 emissions, the main cause of which is the spill-over effect due to the strong pull effect of the service sector on other sectors. A further decomposition into the ESE reveals that the electricity and heating sector accounts for the largest percentage, with the coal-mining and washing sector second.