Environmental pressures from Swedish consumption – A hybrid multi-regional input-output approach

Abstract

Sweden has a policy goal of solving major environmental problems in Sweden within a generation, without increasing environmental or health problems in other countries. Following up this goal requires indicators for domestic and external footprints of Swedish consumption. This paper presents such macro-level indicators for the years 2008–2014. The new indicators are consistent with Swedish statistics from the System of Environmental-Economic Accounts. They combine a multi-regional input-output (MRIO)database, to capture the external components of Sweden's consumption, with national input-output, trade and environmental statistics. The hybrid MRIO-Sweden model provides a comprehensive environmental account for follow-up of the Generational Goal. This paper presents impacts from household consumption, government consumption and capital formation, covering emissions of greenhouse gases, sulphur dioxide, nitrogen oxides, and particulate matter smaller than 2.5 μm (PM2.5), land use, materials consumption, and blue water consumption. Except for land use, the majority (60% or more)of the environmental pressures due to consumption occurred outside Sweden in 2014; more than 90% of sulphur emissions and more than 80% of the water use fell abroad. The environmental pressures from consumption decreased over this period for all indicators (except materials consumption). This suggests an absolute decoupling between environmental pressure due to consumption and economic growth, which rose over the period. It is, however, too early to determine whether this is a genuine trend or a temporary stabilisation.