A Carbon Footprint Proportional to Expenditure - a Case for Norway?

23 Pages Posted: 17 Apr 2014

See all articles by Patrick A. Narbel

Patrick A. Narbel

Norwegian School of Economics (NHH)

Elisabeth Thuestad Isaksen

London School of Economics & Political Science (LSE) - Grantham Research Institute on Climate Change and the Environment

Date Written: April 14, 2014

Abstract

Assuming that emissions originate from the consumption of goods and services, we study the relationship between consumption-based per capita carbon footprint and per capita expenditure for Norway, using 2007 data. A two-region input-output model reveals that the consumption-based per capita carbon footprint is directly proportional to expenditure with an estimated elasticity close to unity. We show that this result is at least partly driven by a near zero-emission power sector, which leads to comparatively low emission intensities for domestically-produced goods and services.

Keywords: Carbon footprint, consumption, trade

JEL Classification: Q40, Q50

Suggested Citation

Narbel, Patrick A. and Isaksen, Elisabeth Thuestad, A Carbon Footprint Proportional to Expenditure - a Case for Norway? (April 14, 2014). NHH Dept. of Business and Management Science Discussion Paper No. 2014/16. Available at SSRN: https://ssrn.com/abstract=2425600 or http://dx.doi.org/10.2139/ssrn.2425600

Patrick A. Narbel (Contact Author)

Norwegian School of Economics (NHH) ( email )

Helleveien 30
Bergen, NO-5045
Norway

Elisabeth Thuestad Isaksen

London School of Economics & Political Science (LSE) - Grantham Research Institute on Climate Change and the Environment ( email )

Houghton Street
London, WC2A 2AE
Great Britain

HOME PAGE: http://https://sites.google.com/site/elisabethisaksen/

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