• Environmental and Resource Economics Review
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• v.26 no.1
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• pp.1-35
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• 2017

This study investigates a decomposition analysis of the determinants of the reduced $CO_2$ emissions in seven OECD countries that implemented carbon taxes from 1995 to 2013. Recent studies on decomposition analysis of changes in $CO_2$ emissions focused on technology-based physical factors; however, this study analyzes the effects of a carbon tax as an economic factor. According to the results obtained by using the Log Mean Divisia Index, the energy intensity effect and the carbon tax effect contributed the most towards the reduction of total $CO_2$ emissions in the seven OECD countries. The results for each country show that the emissions decreased due to the energy intensity effect, while the effects of carbon tax and carbon tax revenues differed by policy and environment of the countries.

• Environmental and Resource Economics Review
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• v.24 no.1
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• pp.55-84
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• 2015

Korea is one of the few OECD countries having no binding Greenhouse gas (GHG) emissions reduction obligations under the Kyoto Protocol. Korea is going to enforce a powerful greenhouse gas emissions control to the industry from 2015. Current GHG reduction policies do not take into account the trade-off between economic growth and GHG mitigation, this approach will not be sustainable. Sectoral approach, considering industry by industry may be more eco-friend approach. This study verified the validity of the analysis results counted from whole procedure of energy input-output analysis and decomposition analysis to sector 'Organic basic chemical products' and 'Cement and concrete products'. Empirical test was performed using changes in energy consumption, production, process improvements and new facilities. Although the results showed unstable fluctuations from Divisia index decomposition analysis, it was verified that the entire procedure can provide a clue in understanding of the industry's energy and GHG footprint.

• Journal of Korea Technology Innovation Society
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• v.4 no.3
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• pp.311-322
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• 2001

This study is on the decomposition analysis of the IT export of Korea, Japan, and China (toward US IT market) by using log mean Divisia method. The analysis shows that the increase in the Korea-US IT exports is the result of not only the increase in the US's IT imports but also the increase in the US's IT market shares. The increases in the Japan-US IT export have shown to be the result of the increase of US's IT import but the market shares have been decreased. The increase in the China-US IT export is the result of the changes in the market shares, changes in IT import structure. and the IT import increase. In order to increase exports toward US markets, Korea have to continue increasing the market share of communication equipments, secure competitive power toward US IT markets with the decline of Japanese's market shares, and secure technical superiority over rising competitive power of Chinas IT industry.

• Environmental and Resource Economics Review
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• v.16 no.3
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• pp.723-738
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• 2007

This paper draws some implications from Logarithmic Mean Weight Divisia Method (LMWDM) on the sources of $CO_2$ emission changes in the manufacturing sectors of Korea, UK, and USA. The sources of change in industrial $CO_2$ emission of a country, as manifested by production scale factor, structural factor, and technical factor, summarizes the forces behind the change in $CO_2$ emissions in each country's manufacturing sector. There are three observations. First one is that Korea's emission is increasing while USA and UK are experiencing reduction or stabilization of $CO_2$ emission in the manufacturing sector. Second implication is that the technical factor affecting $CO_2$ emission in Korea does not help much, or even hinder, the reduction of $CO_2$ emissions, comparing to USA and UK. Third one, which is the combined result of the first and the second one, is that Korea's increasing trend in aggregate $CO_2$ emission throughout the periods in consideration is mainly due to the failure in technical progress, or the deterioration in the structure of within subcategories, or both. The policy implications is clear. The obvious prescription is to launch a nation-wide policy drive which can revert these adverse trends.

• Journal of Energy Engineering
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• v.24 no.1
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• pp.137-148
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• 2015

So far, the phenomenon of "electrification" has been deepened in Korean industry and especially direct heating energy which accounted for 44.0%(2010) of total energy consumed in Korean manufacturing has been significantly electrified. This paper decomposed electricity consumption for direct heating in Korean manufacturing from 1992 to 2012 using LMDI(Log Mean Divisia Index). This paper includes 4 different factors such as electricity proportion effect, direct heating proportion effect, energy intensity effect and added value effect. And this paper compared the consumption pattern by business type. As results, electricity proportion effect had contributed the most to the increase of electricity consumption for direct heating in Korean manufacturing. And Petrol-Chemical and Iron & Steel had the most electrification of direct heating.

• Environmental and Resource Economics Review
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• v.10 no.4
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• pp.569-589
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• 2001

We examine historical contributions of inter fuel substitution, changes in carbon efficiency and energy intensity, growth of economy and population to Korea's $CO_2$ emissions from 1970 to 1998 using the log mean weight Divisia index method. The study reveals that economic growth is the most significant factor to $CO_2$ emissions growth among the five factors. Changes in the fuel substitution and carbon coefficient are found negative contributors to $CO_2$ emissions growth. Energy intensity, which played dominant role in halting $CO_2$ emissions growth in the 1980s, began to play reversed role in the 1990s. When evaluated with the log mean Divisia index technique, deterioration of energy intensity in the 1990s is found worse and expected to contribute $CO_2$ emissions growth further.

• Journal of Energy Engineering
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• v.27 no.3
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• pp.10-20
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• 2018

Due to cheap electricity tariff on agricultural use, electricity consumption in agricultural sector has grown dramatically. We evaluated the negative effects of the cheap electricity tariff such as electricity over-consumption, increased dependency on electricity, decreased electricity productivity, and unequal distribution of the benefit. We also estimated the effects of agricultral output growth, structural change, and electricity intensity change on sharp electricity consumption increase in agricultural sector between 1998 and 2016 using the Log Mean Divisia Index decomposition method. The findings reinforce the necessity of raising the electricity tariff for agricultural use.