Analysis of resource efficiency : a production frontier approach

Hoang, Viet-Ngu (2014) Analysis of resource efficiency : a production frontier approach. Journal of Environmental Management, 137, pp. 128-136.

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Abstract

This article integrates the material/energy flow analysis into a production frontier framework to quantify resource efficiency (RE). The emergy content of natural resources instead of their mass content is used to construct aggregate inputs. Using the production frontier approach, aggregate inputs will be optimised relative to given output quantities to derive RE measures. This framework is superior to existing RE indicators currently used in the literature. Using the exergy/emergy content in constructing aggregate material or energy flows overcomes a criticism that mass content cannot be used to capture different quality of differing types of resources. Derived RE measures are both ‘qualitative’ and ‘quantitative’, whereas existing RE indicators are only qualitative. An empirical examination into the RE of 116 economies was undertaken to illustrate the practical applicability of the new framework. The results showed that economies, on average, could reduce the consumption of resources by more than 30% without any reduction in per capita gross domestic product (GDP). This calculation occurred after adjustments for differences in the purchasing power of national currencies. The existence of high variations in RE across economies was found to be positively correlated with participation of people in labour force, population density, urbanisation, and GDP growth over the past five years. The results also showed that economies of a higher income group achieved higher RE, and those economies that are more dependent on imports and primary industries would have lower RE performance.

Impact and interest:

4 citations in Scopus
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5 citations in Web of Science®

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ID Code: 78085
Item Type: Journal Article
Refereed: Yes
Keywords: Resource efficiency, Resource productivity, Materials flow analysis, Emergy analysis, Exergy analysis, Production frontier
DOI: 10.1016/j.jenvman.2014.01.046
ISSN: 0301-4797
Divisions: Current > QUT Faculties and Divisions > QUT Business School
Current > Schools > School of Economics & Finance
Copyright Owner: Copyright 2014 Elsevier Ltd
Copyright Statement: This is the author’s version of a work that was accepted for publication in Journal of Environmental Management. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in Journal of Environmental Management, [VOL 137, (2014)] DOI: 10.1016/j.jenvman.2014.01.046
Deposited On: 29 Oct 2014 22:44
Last Modified: 06 Jun 2016 07:08

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