Hostname: page-component-586b7cd67f-l7hp2 Total loading time: 0 Render date: 2024-11-24T19:56:09.488Z Has data issue: false hasContentIssue false
  • English
  • Français

Analysing Fuel Subsidy and Taxation Reform with Input–Output Data

Published online by Cambridge University Press:  10 September 2020

Joerg Beutel
Joerg Beutel*
Affiliation:
Konstanz University of Applied Sciences, Germany
*
*Corresponding author email: [email protected]
Get access Rights & Permissions [Opens in a new window]

Abstract

For a long time, the use of intermediate products in production has been growing more rapidly in most countries than domestic production. This is a strong indication of more interdependency in production. The main purpose of input-output analysis is to study the interdependency of industries in an economy. Often the term interindustry analysis is also used. Therefore, the exchange of intermediate products is a key issue of input-output analysis. We will use input–output data for this study that the author prepared for the new ‘Handbook on Supply, Use and Input–Output Tables with Extensions and Applications’ of the United Nations. The supply use and input–output tables contain separate valuation matrices for trade margins, transport margins, value added tax, other taxes on products and subsidies on products. For the study, two input–output models were developed to evaluate the impact of fuel subsidy and taxation reform on output, gross domestic product, inflation and trade. Six scenarios are discussed covering different aspects of the reform.

Type
Research Article
Information
World Trade Review , Volume 19 , Special Issue S1: The Trade Impacts of Fossil Fuel Subsidies , July 2020 , pp. s62 - s87
Copyright
Copyright © The Author(s), 2020. Published by Cambridge University Press

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Beutel, J (2013) with Isabelle Rémond-Tiedrez and José Rueda-Cantuche: The Importance of Input–Output Data for the Regional Integration and Sustainable Development of the European Union. Murray, J and Lenzen, M (eds.), The Sustainability Practitioner's Guide to Multiregional Input–Output Analysis, Champaign, IL: Common Ground Publishing, The University Press, pp. 220–239.Google Scholar
Beutel, J (2017) The Supply and Use Framework of National Accounts. ten Raa, Thijs (ed.), Handbook of Input–Output Analysis, Cheltenham: Edward Elgar, pp. 41–132.10.4337/9781783476329.00009CrossRefGoogle Scholar
Beutel, J (2020) Economic Diversification and Sustainable Development – A New Assessment for GCC Countries with Input–Output Data. Giacomo Luciani and Tom Moerenhout (eds.), When Can Oil Economies Be Deemed Sustainable?, Palgrave Macmillan.Google Scholar
Beutel, J, with Rueda-Cantuche, JM, Amores, AF, and Remond-Tiedrez, I (2018) Assessment of European Use Tables at Basic Prices and Valuation Matrices in the Absence of Official Data. Economic Systems Research 30(2): 252–270.Google Scholar
Cambridge Econometrics (2019) E3ME: Our Global Macro-Econometric Model. www.camecon.com/how/e3me-model/.Google Scholar
Eurostat (2018) Supply, Use and Input–Output Tables, Luxembourg. https://ec.europa.eu/eurostat/web/esa-supply-use-input-tables/data/database.Google Scholar
Eurostat (2019) Figaro Project: EU-Inter Country Supply, Use and Input–Output Tables. https://ec.europa.eu/eurostat/web/experimental-statistics/figaro.Google Scholar
GEM-E3 Model (2018) General Equilibrium Model for Economy-Energy-Environment Interactions. https://ec.europa.eu/jrc/en/gem-e3/model.Google Scholar
Grainger, C, Zhang, F, and Schreiber, A (2015) Distributional Impacts of Energy-Cross Subsidization in Transition Economies – Evidence from Belarus. Policy Working Paper 7385. World Bank, South East Asia Region, 44 p.CrossRefGoogle Scholar
Harun, M (2018) The Effects of Fuel Subsidy Removal on Input Costs of Productions: Leontief Input–Output Price Model. International Journal of Supply Chain Management 7(5), 529–534.Google Scholar
Hubacek, K and Ogaronko, I (2013) Eliminating Indirect Energy Subsidies in Ukraine: Estimation of Environmental and Socioeconomic Effects Using Input–Output Modeling. Journal of Economic Structures 2(1): 1–27.Google Scholar
INFORUM (2019) Interindustry Forecasting at the University of Maryland (INFORUM). www.inforum.umd.edu.Google Scholar
International Energy Agency (2019) World Energy Outlook, Energy Subsidies, Paris. www.iea.org/weo/nergergysubsdies/.Google Scholar
International Monetary Fund (2017) Austria – Selected Issues, IMF Country Report No. 14/279, Washington, DC.CrossRefGoogle Scholar
Leontief, W (1966) Input–Output Economics. Oxford University Press.Google Scholar
Miller, RE and Blair, PD (2009) Input–Output Analysis – Foundations and Extensions. 2nd edn, Cambridge University Press.CrossRefGoogle Scholar
Mitra-Kahn, Benjamin BH (2008) Debunking the Myths of Computable General Equilibrium Models. Working Paper 2008-1, Schwarz Center for Economic Policy Analysis, Department of Economics, The New School for Social Research, New York, 93p.Google Scholar
Taylor, L and von Arnim, R (2006) Modelling the Impact of Trade Liberalisation: A Critique of Computable General Equilibrium Models. Oxfam International Research Report, New School for Social Research, New York.CrossRefGoogle Scholar
Statistics Austria (2020) Input–Output Statistics. www.statistik.gv.at.Google Scholar
Ten Raa, T (ed.) (2017) Handbook of Input–Output Analysis. Cheltenham: Edward ElgarCrossRefGoogle Scholar
United Nations (2009) System of National Accounts 2008 (SNA 2008). New York. https://unstats.un.org/unsd/nationalaccount/docs/sna2008.pdf.Google Scholar
United Nations (2018) Handbook on Supply, Use and Input–Output Tables with Extensions and Applications, New York. https://unstats.un.org/unsd/nationalaccount/docs/SUT_IOT_HB_wc.pdf.Google Scholar
WIOD (2019) World Input–Output Database. www.wiod.org.Google Scholar