Research methods at IndEcol

Multirregional Input Output Analysis (MRIO)

iconInput-output tables are systematic records of the flow of goods and services between the various economic sectors and final consumers in an economy.

These records include overall volumes of production, intermediate and final consumption as well as international trade. By assuming that such historic records can be taken to represent production functions, researchers are able to track how the consumption of goods and services leads to production activities upstream in the supply chain. By extending these models with various environmental and social data, environmental impacts embodied in the consumption of goods and services can be assessed analogously.

Researchers at IndEcol have pioneered the construction of detailed, global MRIO models and used these to provide a first account of the carbon footprint of nations and a first quantification of CO2 emissions embodied in international trade. At this point, MRIOs form the backbone of our research on resource efficiency, consumption-based climate policy, and sustainable lifestyles.