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http://dx.doi.org/10.7464/ksct.2022.28.3.258

Development of Sub-indicator for Enhancing the Reliability of National-level Resource Productivity Estimation  

Lee, Jong-Hyo (Program in Circular Economy Environmental System, Inha University)
Kang, Hong-Yoon (Program in Circular Economy Environmental System, Inha University)
Hwang, Yong-Woo (Department of Environmental Engineering, Inha University)
Kwon, Soon-Gil (Program in Circular Economy Environmental System, Inha University)
Publication Information
Clean Technology / v.28, no.3, 2022 , pp. 258-266 More about this Journal
Abstract
Resource productivity (GDP/DMC) is defined as GDP divided by DMC. However, it has shortcomings when estimating the value-added generated from material processing. In this paper, an energy coefficient is applied to GDP to develop a sub-indicator (referred to as GDPe/DMC). Consequently, South Korea, which is a secondary industry-oriented country, created 1,094.60 USD/ton from input materials and was ranked 4th on the OECD list, which is 10 levels higher than the level estimated by GDP/DMC. However, Luxembourg, which is a tertiary industry-oriented country, is ranked 16th on the OECD list, which is 12 levels lower than the level estimated by GDP/DMC. The resource productivity estimated by the sub-indicator (GDPe/DMC) developed in this study indicates that secondary industry-oriented countries are undervalued in the existing main GDP/DMC calculation. On the other hand, tertiary industry-oriented countries are downgraded due to the industrial features of the GDPe/DMC calculation. As a result of this paper, GDPe/DMC could be considered a more reasonable indicator to directly reflect the material input effect compared to the existing main indicator, GDP/DMC. This means that GDPe/DMC-induced resource productivities could be estimated to be slightly higher than the GDP/DMC-induced resource productivities for secondary industry-oriented countries. It is expected that the sub-indicator, GDPe/DMC, proposed in this study could be useful especially for comparing and analyzing the resource productivities between countries that have different industry structures. This study intended to consider a structurally energy/resource-intensive industry in estimating and analyzing national-level resource productivity. Thus, the sub-indicator, GDPe/DMC, may help minimize the distortion of interpreting national resource productivities in various situations, and be utilized as a more efficient tool when used together with GDP/DMC.
Keywords
Resource Productivity; Sub-indicator; Industrial Energy Usage; Energy Coefficient; Domestic Material Consumption;
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