Regional Input Output Research Articles

A Study on Inter-Provincial Environmental Pollution Movement in China Based on the Input–Output Method

In China, environmental pollution responsibilities are divided according to administrative regions. However, because of the strong externality of environmental pollution, the movement of environmental pollution undoubtedly increases the complexity of pollution governance. To divide the responsibility of environmental pollution governance in each province, we effectively quantify the unequal relationship between environmental pollution costs and economic benefits in each province to understand the mechanism and characteristics of inter-provincial environmental pollution movement. Based on the regional input–output model and an inventory we compiled of sulfur dioxide(SO2) emissions of air pollutants in 2012, we calculate the implied inter-provincial environmental pollution emissions and economic benefits from trade, based on production and consumption (supply-side and demand-side). In addition, the movement relationship is explored, and the cost and economic value-added indexes of air pollution control are further constructed to provide effective evidence for a reasonable division of responsibility for environmental pollution control. The results show that there are obvious environmental inequities in the regional trade process in each province, indicating that environmental pollution has been moved. Developed provinces have more economic benefits but pay less in the process of trading goods with less-developed provinces due to the advantages of their industrial structure, while the opposite is true for less-developed provinces. Finally, we propose corresponding policy recommendations to change this condition.

서울 스마트관광 콘텐츠의 경제적 파급효과 분석: RAS(양비례조정법)를 활용하여

Smart tourism content helps cities build resilience by creating economic, social and public value. Seoul, one of the leading smart tourism cities, has increasingly recognized the economic importance of smart tourism content, and in doing so, has carried out numerous investment projects from 2019 to 2023. This study aims to evaluate the economic effect of these projects for the remaining two years from 2022 to 2023. For that, we updated 2015 input-output table and made 2020 regional input-output table of Seoul adopting RAS method and location quotient method. As a result, the investment of 10.5 billion KRW for two years is expected to create more than 17.5 billion KRW of production inducement effect which is expected to create more than 14.6 billion KRW of income-inducing effects, about 5.7 billion KRW of value-added-inducing effects, about 7 billion KRW of indirect tax-inducing effects and 157 employment across all industries in Seoul.

Carbon footprint and embodied carbon emission transfer network obtained using the multi–regional input–output model and social network analysis method: A case of the Hanjiang River basin, China

China is the largest carbon emitter in the world; thus, reducing carbon emissions while maintaining economic growth has become an important issue. Within the context of carbon neutrality strategies, calculation of the carbon footprint and embodied carbon transfer can help policymakers formulate reasonable carbon reduction plans. The multi–regional input–output (MRIO) model can clarify carbon flow pathways between regions, and social network analysis (SNA) can comprehensively evaluate the different positions of individual sectors. Combining these two approaches, the specific characteristics of carbon emissions in complex production and trade relationships can be analyzed. China has become the world’s top total carbon emitter, and the Hanjiang River basin (HJRB) constitutes an important economic link between the developed and less developed regions of China. Studying carbon emissions in the HJRB can provide a reference for other, similar regions and is vital for the realization of China’s carbon emission reduction targets. This paper examines the carbon footprint and embodied carbon emission transfer among three provinces and 12 sectors in the HJRB during different periods and identifies the key industries in the carbon transfer process. The results indicate that (1) the total carbon footprint in the HJRB exhibits an increasing trend. Energy-based Shaanxi Province exhibits the highest growth rate of the carbon footprint, agriculture-based Henan Province shows a decreasing trend, and consumption-based Hubei Province displays the lowest carbon footprint intensity. (2) There are differences in the carbon emission coefficient and final consumption rate among various sectors; construction, metal processing and metal and non-metallic products, processing and manufacturing of petroleum, coking, nuclear fuel, chemical products, and other services are the sectors accounting for a high proportion of emissions. (3) The more obvious the supply relationship is, the higher the flow of embodied carbon emission transfer between sectors. (4) Energy-based regions transfer large amounts of fossil energy, electricity, steel and coal resources to developed regions and simultaneously assume more of the carbon reduction pressure imposed on developed regions. (5) The key industries within the embodied carbon emission transfer network notably control the carbon emissions of other industries and can provide breakthroughs to achieve challenging carbon emission reduction targets.

A new proposal to model regional input–output structures using location quotients. An application to Korean and Spanish regions

AbstractThis paper is based on the use of Flegg's location quotients (FLQ) and proposes a novel procedure for the estimation of the unknown parameter δ in regions with and without input–output frame availability. Applied to data for the Korean regions for the year 2015, firstly the determination of the optimal δ is addressed by solving a general optimization problem and, secondly, a regression equation is proposed to estimate the value of δ from the explanatory variables of interregional road freight transport (IRFT) and imports from the rest of the world (IROW). The results obtained show a lower bias in regard to the true values of the regional inputs coefficients in relation to other methods based on location quotients.

The perceived effectiveness and hidden inequity of postpandemic fiscal stimuli

The world has committed trillions in fiscal expenditures to reboot the economy in the post–COVID-19 era. However, the effectiveness and the equity impacts of current fiscal stimuli are not fully understood. Using an extended adaptive regional input–output model, we assess the short-term impacts (2020 through 2022) of feasible stimuli on the global economy and the labor market. Our findings show that the stimuli pledged by 26 countries, i.e., 2.4 trillion euros in total, are effective in keeping the recession short and shallow by saving 53 million to 57 million jobs (compared to the no-stimulus scenario). However, the stimuli exacerbate income inequity at the global scale if we define “equity” as those who suffer more from the pandemic should receive more assistance. Low-skilled workers in these countries, who suffer more from the pandemic than high-skilled workers, benefit 38 to 41% less from the job-creation effects of the current fiscal stimuli. As an alternative, low-carbon stimuli can achieve a balance between effectiveness and equity at the global level. Low-carbon stimuli save 55 million to 58 million jobs and decrease income inequality by 2 to 3% globally compared to the currently pledged stimuli. Country-level situations are more complicated, as modifying the current stimuli to achieve more “greenness” brings win–win in effectiveness and equity in some countries, while in the others, more greenness and equity are at the expense of less job savings. Our findings underscore the need to consider the overlooked trade-offs between effectiveness, equity, and greenness, both globally and nationally, when designing further postpandemic fiscal stimuli.

Gorontalo Economy Linkage in Perspective Tables IO and IRIO Year 2016

Gorontalo Province has the potential to develop, but still has several problems related to inequality and population welfare, so appropriate policies are needed to encourage accelerated development. This study aims to determine the inter-sectoral and inter-regional linkages in Gorontalo Province using the Input Output (IO) and Inter Regional Input Output (IRIO) Tables 2016. The results of this study show that the economy of Gorontalo Province cannot be separated from other provinces and abroad. Gorontalo's leading industries are the supply of electricity and gas (D) and the processing industry (C). Other industries that can be developed are Agriculture, Forestry and Fisheries (A), Trade (G), and Construction (F) which have the largest contribution to the economy of Gorontalo Province. The provinces most affected if there is a change in final demand in Gorontalo Province are DKI Jakarta, Central Java, and East Java. Meanwhile, the provinces that have the greatest impact on Gorontalo Province if there is a change in final demand are North Sulawesi, Central Sulawesi, and Banten.

Evaluation of Non-survey Methods for the Construction of Regional Input–Output Matrices When There is Partial Historical Information

Evaluation of Non-survey Methods for the Construction of Regional Input–Output Matrices When There is Partial Historical Information

Implicit Environmental Injustice in Global Trade: Based on the MRIO Model.

To answer these questions in light of the MRIO model, this paper presents a study of environmental injustice affecting the global economy. Practical ideas and lifespan measurements are often used in studies of the embodied carbon industry. The input-output table method is an important method for industrial embodied carbon research, which can be divided into the regional input-output table method, bilateral input-output table method, and multiregional input-output table method. Bilateral and multistakeholder consultations are more accurate than regional proposals. Therefore, when studying the carbon industry implied by the two countries, the input-output table of the two countries is usually used, and the multilateral input-output table is more reliable for determining the input-output calculation. Therefore, when studying local problems, it is advisable to adopt a variety of display strategies. The results show that in 2010, the carbon content of the carbon industry was 26,593 thousand tons, down 34.6% from 17,383 thousand tons in 2011, calculated at 2%. From 2012 to 2018, the carbon content grew from 31,051 tons in 2014 to 84,248 tons in 2018, with an average annual increase rate of 18%. The experimental results show that there is a large incidence of carbon emissions in the bilateral trade between China, the United States, and Japan. The expansion of export industries is the main reason for the increase in carbon emissions between the two industries. The role of technology has narrowed this difference to some extent.

Economic and regional spillovers of energy efficiency investments in buildings

This paper explores whether the policy of mitigating climate change through energy-efficient retrofitting supports more balanced development or increases regional disparities. The issue is explored through the estimation of the socioeconomic effects of energy-efficient renovation across Croatian regions. The regional input–output model is applied to identify direct, indirect, and induced effects of building retrofit investments on gross value added and employment. In the Croatian case, over three-quarters of the total economic effects of energy-efficient retrofitting is distributed to the more developed region of Continental Croatia. Economic activity in the Adriatic region is strongly dependent on tourism with insufficient local production of the manufacturing products required in energy renovation projects, and a certain proportion of spillover effect of the investment is transferred to Continental Croatia. The positive economic effects induced by retrofit investments are most present in construction, manufacturing, trade, and transport. Results suggest that climatic conditions and regional economic specialisation have an impact on the dispersion of the economic effects of retrofit measures in different regions.

Economic Impact of the Health Sector on the Regional Level – Case of a Small, Open Economy

A GRIT methodology (Generation of Regional Input-Output Tables) to generate and analyze regional input-output tables is applied for a small, middle-income nation, where the single national input-output table is partitioned into numerous regional tables. Missing values data are imputed using an evolutionary stochastic population-based nature-inspired optimization algorithm with self-adapting control parameters and exogenous superior data are introduced as well. A nonsurvey study is carried for each regional economy by computing various multipliers, such as output, income, value-added, employment, and import multipliers, and outlining financial properties, development, and interconnections of the various regions in Slovenia. Finally, the effects of financing the regional healthcare sectors are examined. Empirical evidence that healthcare industry sectors are extraordinarily important at the regional level and thus necessary to deliver a favorable impact on the national production of Slovenia in future, can be used for forthcoming economic policies planning at regional and national level.

Evaluating Cryospheric Water Withdrawal and Virtual Water Flows in Tarim River Basin of China: An Input–Output Analysis

In Tarim River Basin (TRB), the retreat of glacier and snow cover reduction due to climate warming threatens the regional economy of downstream basins that critically depends on meltwater. However, the quantitative evaluation of its impact on multiple sectors of the socioeconomic system is incomplete. Based on compiled regional input–output table of the year 2012, this study developed a method to analyze the relationships between economic activities and related meltwater withdrawal, as well as sectoral transfer. The results show that the direct meltwater withdrawal intensity (DMWI) of agriculture was much higher than other sectors, reaching 2348.02 m3/10,000 CNY. Except for A01 (agriculture) and A02 (mining and washing of coal), the embodied meltwater withdrawal (EMW) driven by the final demand of other sectors was greater than direct meltwater withdrawal, and all sectors required inflows of virtual water (72.45 × 108 m3, accounting for 29% of total supply from cryospheric water resources) for their production processes in 2012. For sectors with high DMWI, improving water-use efficiency is an effective way to reduce water withdrawal. To some extent, the unbalanced supply of cryospheric water resources due to geographical segregation can be regulated by virtual water flows from water-saving to water-intensive sectors. Such decisions can affect the balance between socioeconomic development and environment conservation for long-term sustainability.

Measuring the Increasing Coefficients of Production and Analysis of Goods and Services Cycle in the Supply and Dem and Sector of the Economy of the Sistan & Baluchestan Province Based on the Regional Input–Output Table

محصول ناخالص داخلی،مجموع ارزش افزوده بخش‌های اقتصادی است که میزان تولید را نشان می‌دهدکه به اختصاربه آن GDP نامیده می-شود.سهم تولید استان نسبت به تولید ناخالص داخلی‌کشور1/4 درصد ودررتبه نوزدهمین استان کشورقراردارد درحالیکه این استان سهم 3/5درصدی جمعیتی برخورداراست.همچنین تولید سرانه استان164 میلیون ریال درمقایسه با تولید سرانه 419 میلیون ریال کشوربه میزان 255 میلیون ریال معدل 155 درصداختلاف دارد. در مقاله حاضر برای اندازه‌گیری ضریب فزاینده تولید در بخش‌های اقتصادی با رویکرد جدول داده – ستانده منطقه‌ای به روش سهم مکانی فلگ با تلفیق FLQ-RAS استفاده شده است.جدول فوق رابطه تراز تولیدی بین بخشی اقتصاد وچرخه کالاهای واسطه‌ای و نهایی بین عرضه و تقاضا اقتصاد استان رانشان می‌دهد.نتایج این تحقیق ضریب فزاینده تولید، بیانگر تغییرات یک واحدتقاضای نهایی‌نسبت به افزایش تولید آن بخش درکل اقتصاداستان‌ رانشان می‌دهد.همچنین‌دراین پژوهش12رشته فعالیت اقتصادی ضریب قدرت انتشاروحساسیت پراکندگی بالایی هستند.بررسی طرف تقاضای اقتصاد نشان‌می‌دهد،خانوارهای استان بطور متوسط65 درصدازمیانگین هزینه‌خانوارهای کشور برخوردار می‌باشند و نشان از کاهش رفاه خانوارهای منطقه نسبت به جامعه است.

한국 철도차량 수출의 지역경제효과 분석

한국은행이 2020년에 발표한 최신의 통계인 ‘2015년 지역산업연관표’를 활용하여 철도차량 수출이 지역경제에 미치는 경제적 효과를 분석하였다. 철도차량 수출에 따른 다지역다부문 유발승수는 생산 2.26, 부가가치 0.69, 수입 0.31이고 고용은 수출액 1백만원 당 0.009명으로 나타났다. 전국 17개 지방자치단체 중에서 경남, 경북, 서울, 경기 등 4개 지역이 한국 철도차량 수출의 99%를 차지하였으나 철도차량 수출에 따른 유발효과는 전국 각 지자체 모든 곳에 파급되어 나타났다. 각 지역의 생산, 부가가치, 고용 유발효과가 최대로 발생한 대표적인 산업은 지역 산업의 특성에 따라 다양하게 나타났다. 철도차량의 생산과 수출은 소수의 지역에 집중되었으나 수출에 따른 경제적 수혜는 전국에서 지역특성에 따라 다양한 산업에서 발생한 것이다.

Estimation of regional input coefficients and output multipliers for the regions of Chile

AbstractThe greatest limitation for carrying out intersectoral studies at the regional level is the lack of regional input–output tables. This study compares various indirect methods to estimate regional output multipliers in 15 regions of Chile through Monte Carlo simulation. The augmented Flegg location quotient (AFLQ) method (δ = 0.5) is chosen since it presents the best behaviour to estimate regional input coefficients and output multipliers. However, the value of δ is sensitive to the number of regions and/or sectors and to the use of simulated or real sectoral gross domestic product (GDP) in each region. So, it is recommended that when it is possible, a simulation of Monte Carlo simulation be carried out to select this parameter in each country and not simply adopt values extracted from the literature.

Comparing Bioeconomy Potential at National vs. Regional Level Employing Input-Output Modeling

The support of economic sectors that exploit natural bio-based resources in a particular region is an opportunity to benefit from local potentials in terms of sustainability, employment, output, and household income. Hence a relevant question emerges, namely, how can bioeconomy sectors be adequately supported? Within this context, another issue is whether the bioeconomy development strategy at a national level should be the same as that at a regional level. To address these issues, in the current study a comparison was made between the bioeconomy sectors at the country level based on the case study of Poland and one of the poorest regions in the European Union—the Lubelskie Region. A regional input–output model was built for the regional economy and compared with the national model. The bioeconomy-oriented regional input–output table was built by applying a hybrid regionalization method, combining non-survey techniques and a questionnaire survey that was carried out in companies of mixed bio-based sectors. Sectoral linkages, such as multipliers and elasticities, indicate notable differences among the bio-based sectors’ potentials of the regional and national economies. Therefore, a bioeconomy development strategy should be seen to differ at national and regional levels.

The Paradox of the Virtual Water Trade Balance in the Mediterranean Region

Climate change, water shortages and desertification threaten the economic and environmental sustainability in the Mediterranean. Limited rainfall and higher temperatures put agricultural production, which relies on water availability, in jeopardy. Thereupon, Mediterranean countries pursue agri-food resilience and water preservation through efficient water policies. Hence, water-deprived areas ought to import rather than produce water-intensive products to maintain water inventories and sustainability consequently. As this study examines the water sustainability for a Mediterranean water-scarce region with a particular focus on agriculture, the virtual water trade balance explores this hypothesis. A regional input–output model is constructed, and then total water consumption and the virtual water flows for each economic sector are estimated to determine the virtual water trade balance of the economy. Results indicate that the study area has a trade deficit and struggles economically but is a net importer of virtual water and secures water sustainability. As this virtual water deficit relies heavily on agriculture and originates in vast total water consumption rather than a large trade deficit, a paradox occurs; water-intensive cultivations and animals that consume 91.75% of water resources end up appearing to be water-saving. Further research is needed to strike a balance between economic growth and environmental protection.

우리나라 조선산업의 지역산업연관 효과분석

본 연구는 한국은행이 2020년도에 발표한 ‘2015년도 지역산업연관표’를 사용하여 우리나라의 17개 지방자치단체에 속한 조선산업의 지역별 기본 경영현황을 분석하였다. 그리고 각 지역의 조선산업에서 발생한 투자 및 수출 활동이 전국 17개 지방자치단체의 165개 소분류 산업 부문에 미친 생산, 수입, 부가가치, 고용 파급효과를 분석하였다. 우리나라의 조선산업 생산활동은 경남, 울산, 전남, 부산, 전북 지역의 선박 수출기업을 중심으로 활발히 발생했다. 그 결과 조선산업의 투자 및 수출 활동에 따른 산업연관 파급효과는 우선 이들 지역 내에서 가장 크게 나타났다. 동시에 그 효과는 지역 간 산업연관 관계를 통하여 전국 각 지자체에 차별적으로 파급되었다. 지역 간 파급효과는 서비스 산업의 비중이 큰 서울과, 기계, 전기, 금속 산업이 발달한 경기도에서 더욱 크게 나타났다. 투자와 수출의 산업 간 파급효과는 33개 대분류 기준으로 볼 때, 조선산업이 속한 운송장비 산업은 물론, 그 밖에 금속, 임가공, 기계, 장비, 사업지원서비스, 도소매 산업을 중심으로 전국 전산업에 파급되었다. 우리나라의 조선산업은 국가 경제 특히 수출에서 차지하는 비중이 매우 높다. 본 연구의 결과는 글로벌 경기순환 및 국제무역 환경의 변화에 따른 국내 각 지역의 조선산업 및 그 연관산업 그리고 지역 고용 및 지역기업 지원정책 등에 유익한 자료로 사용될 수 있을 것이다.

The New Data Revolution in Regional Science: A Tribute to the Late Stan Czamanski

The methodology of regional science is traditionally based on a sound mix of conceptual framing and operational (or applied) analysis. In recent years, we have witnessed an avalanche of new empirical data used in regional science research (e.g., social media, ‘big data’, sensor data, App data, etc.). Such new data emerge in particular as a result of digital technology applications and interactive media. But also in traditional statistical domains we observe a rapid expansion of the data base for regional science research, to the extent that a gradual shift from basic thinking towards applied research is taking place. One of the pioneers in regional science who has devoted a significant part of his scientific work to applied research has been the late Stan Czamanski (1918 - 2012). He was fascinated by the question of how to introduce space in a measurable way as a key variable or a structural component in socio-economic research at the sub-national level. Based on a solid conceptual framework of the space-economy, he was able to design operational macroeconomic regional accounts and regional input-output tables, which he used as practical instruments to map out complex spatial-economic phenomena. He grew up in the quantitative research tradition pioneered by Walter Isard, Wassilly Leontief and Lawrence Klein amongst others; they all tried to develop measurement models for studying industrial structures and (spatial-)economic linkages, inter alia by adjusting (inter-)national data to regional economies. A prominent question will also be whether the unprecedented rise in spatially relevant data volumes leads to better insights into the complexity of the space-economy, leave aside whether this may lead to better policy decisions. To address this question, a two-day international Advanced Brainstorm Carrefour (ABC) workshop (in April 2019) was held in Tel- Aviv and Haifa in honor of the late Stan Czamanski. This meeting was organized by The Regional Science Academy (TRSA) and supported by the Tel- Aviv University and the Technion – Israel Institute of Technology. The ABC workshop brought together scholars from all continents to reflect on the new data-analytics challenges of the post-Czamanski age. Both conceptual and applied studies addressing the above-mentioned challenges were welcomed at this fruitful meeting.

An alternative approach to the construction of multi-regional input–output tables of the Czech Republic: application of the CHARM method

The main scope of the paper is to review the construction method of (multi-)regional input–output tables (RIOTs) in the Czech Republic at the NUTS 3 regional level. We compare the estimation of regional IO tables based on a modified cross-hauling adjusted regionalisation method (CHARM) applied by the authors with application of the hybrid approach of (Sixta and Vltavska in Stat Stat Econ J 97:4–14, 2017) from the Department of Statistics at the University of Economics in Prague. The aim of the presented paper is to contribute to the discussion about the suitability of alternative methodological approaches from the perspective of quality and time. We assume that despite the lack of official, published RIOTs by state statistical offices, the existing methodology of the relatively simpler non-survey CHARM method represents an adequate option for the generation of regional input–output tables suitable for further analytical research.

Interrelation between Tooling Evolution and Analytical Potential of Input-Output Method

The toolkit of the input–output method in the article means its mathematical and statistical apparatus. The relationship between the improvement of tools and analytical capabilities of the input–output method is shown using the example of options for endogenizing the elements of final demand in the input–output model. Comparative analysis of endogenization methods is accompanied by calculations based on the regional input–output table.