This paper is intended to measure sectoral sustainabilities and iner-industry linkage effects of natural capital depletion of the Korean industries, and to analyze sources of their change over time using the familiar input-output model.
The sustainab...
This paper is intended to measure sectoral sustainabilities and iner-industry linkage effects of natural capital depletion of the Korean industries, and to analyze sources of their change over time using the familiar input-output model.
The sustainability indicator that we are measuring in this paper is based on the so-called genuine saving concept proposed by the World Bank(1997). We accommodated the concept in the extended analytical framework of Proops et al.(1999) to analyze sectoral sustainabilities of the Korean industries. We decomposed sectoral sustainabilities so measured into their composing factors based on the decomposition method devised by Chung & Rhee (2001).
According to our analysis, overall sustainability of the Korean industries has been declined since 1995. In heavy and chemical, transportation, and electricity sectors, their sustainabilities has been gotten worse. Among four major factors influencing the sustainability, change in GDP was the most important followed by changes in savings, industrial structures, and demand patterns.