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GTAP Resource #4474

"The CO2 Content Of Consumption Across US Regions: A Multi-Regional Input-Output (MRIO) Approach "
by Caron, Justin, Gilbert Metcalf and John Reilly

We improve on existing estimates of the carbon dioxide (CO₂) content of consumption across regions of the United States. Using a multi-regional input-output framework which tracks both interstate and international trade, we estimate the direct and indirect CO₂ emissions attributable to domestically and internationally imported goods. We find that on average indirect emissions embodied in non-energy consumption goods and services account for 55% of total consumption-related emissions.

In contrast to previous analyses using an input-output approach to track emissions from production to consumption, we find substantial heterogeneity in the indirect CO₂ intensity of consumption across regions. Importantly, this heterogeneity is quantitatively similar to the more easily observable heterogeneity in the CO₂ emissions attributable to direct fossil fuel and electricity consumption.

These findings have important implications for the regional distributional impacts of a national climate policy as well as for understanding differing incentives to implement state-level or regional policies.

Resource Details (Export Citation) GTAP Keywords
Category: 2014 Conference Paper
Status: Published
By/In: Presented at the 17th Annual Conference on Global Economic Analysis, Dakar, Senegal
Date: 2014
Created: Caron, J. (4/15/2014)
Updated: Caron, J. (4/15/2014)
Visits: 1,433
- Climate change policy
- Trade and the environment
- The GTAP Data Base and extensions
- North America

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