The resource conservation effect of recycling in a dynamic Leontief model

Dobos, Imre and Floriska, Adél (2007) The resource conservation effect of recycling in a dynamic Leontief model. International Journal of Production Economics, 108 (1-2). pp. 334-340. DOI 10.1016/j.ijpe.2006.12.038

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The aim of the paper is to investigate the impact of recycling on the use of non-renewable resources in the economy. The paper tries to generalize the classical dynamic input–output model. In this regard we extend the standard Leontief model with the balance equation of recycled products, and we establish some properties of this augmented model. We investigate how recycling extends the availability of non-renewable natural resources for the next generations in an inter-industry framework. Supposing a balanced growth both for production and consumption, we examine the existence of the balanced growth path of this model and compare the results to the classical Leontief model. We try to answer the question whether recycling/reuse increases the growth possibility of an economy. Finally, we illustrate our results with a simple numerical example. Thus, we analyze a possible sustainable development of the economy on the basis of the product recovery management of industries.

Item Type:Article
Series Number / Identification Number:10.1016/j.ijpe.2006.12.038
Uncontrolled Keywords:Recycling, Reuse, Input–output model, Leontief model, Sustainable development, Balanced growth path, Non-renewable resources, Product recovery management
Divisions:Faculty of Business Administration > Institute of Business Economics > Department of Logistics and Supply Chain Management
Subjects:Environmental economics
ID Code:332
Deposited By: Ádám Hoffmann
Deposited On:14 Apr 2011 15:44
Last Modified:18 Oct 2021 10:28

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