Statistical presentation
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National Accounts, Economic StatisticsPeter Rørmose Jensen
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The environmental multiplier tables are organized in the following way. Firstly, they contain a reproduction of certain environmental data, which are also found in the Green National Accounts. Secondly, they contain an estimate of some direct effects calculated as the relative share between the same environmental data by industry and and central national accounts variables, typically total output by industry. Finally, the tables contain direct effects (in one industry) and indirect effects (all involved industries) of various types of final demand calculated with an input-output model.
Data description
Environmental multipliers are aggregated measures of the total effect in all industries brought about by changes in the final demand for output from one specific industry or one specific type of final demand. The total effects are measures as e.g. amounts of waste generated, consumption of water, emissions of CO2 or other environmental pressures. The statistics are able to tell e.g. how many 1000 m3 of water are required if the exports by Danish slaughterhouses are to increase by say 1 billion DKK. Alternatively, it can tell how much CO2 will be generated if consumption of food products by Danish households is increased by 1 billion DKK as well.
In the tables there is a distinction between direct and indirect effects. The direct effects can be already disseminated environmental statistics or they can be simple measures of the relationship between environmental and economic variables. Indirect effects - or multipliers - are calculations in a simple modeling framework of the effects in all the industries which are indirectly involved in production of input / intermediate consumption either to the industry under consideration or to some industry further up the production chain.
The statistics comprise 7 different environmental themes energy, emissions, waste by fraction, waste by method of treatment, waste by its dangerousness, water and waste water. Moreover, the tables are split in three different types MU1, MU2, and MU3, a total of 21 tables.
The MU1 tables concentrates on direct and indirect effects of final demand for output from single industries looked at in isolation. As an example the MU1 table for waste by fraction firstly shows the total waste by fraction generated by industries. Then, in the second step these amounts of waste are related to total output by industries in order to obtain the direct effect or the waste productivity by industries. It tells how much waste is generated by each industry in isolation if output is increased by one unit or e.g. by one million DKK. Finally, the MU1 table shows the indirect effects as a sum of the effects in all industries from an increase in demand for output from output in one specific industry.
MU2 tables are focused on direct and indirect effects on final demand categories rather than industries. Private consumption of food is produced in some industries, which thus has an environmental impact. It is the direct effect. However, all the inputs that these food-producing industries use have environmental impacts when produced in other industries. For example, there are emissions of CO2 in the electricity industry as a result of the production of piglets in the agricultural area, which later through slaughterhouses will become Danish food consumption. All these indirect effects are recognized in the environmental multiplier of food consumption.
MU3 tables are an additional dimension of the MU1 table, which indicates which direct and indirect environmental effects in individual industries can be attributed to different types of final use, such as consumption, investment or exports. For example, for the agricultural industry it can be seen how much of the total water consumption is attributable to Danish consumption, or to exports.
Classification system
The green national accounts are developed as a satellite account to the national accounts, and are therefore based on the same classifications and groupings as here. The same goes for the input-output tables.
Danish Industry Code 2007 (DB07), a Danish version of the international nomenclatures EU NACE Rev. 2 and UN ISIC, Rev. 4, contains a number of default groupings: 127, 36, 19, and 10 groupings. The final national accounts 117 industry group corresponds - with few deviations - to the 127 standard grouping and the 117 industries of the national accounts can be aggregated to the other standard groups. National accounts can thus be compared and used in conjunction with other statistics using the DB07 standard groups.
Household consumption as well as the individual part of public consumption are found in the input-output tables broken down by the COICOP classification, while the collective share of public consumption is split according to the COFOG classification.
However, comparisons with other statistics at a detailed level of industries will often show deviations, partly due to variable definition differences, partly as a result of the national accounts desire for calendar year delimitation and its requirements for overall coverage of economic activity.
Internationally, there is a high degree of comparability with other countries' national accounts, as the Danish national accounts are prepared in accordance with the ENS2010 guidelines
Sector coverage
Danish Industry Code 2007 (DB07), a Danish version of the international nomenclatures EU NACE Rev. 2 and UN ISIC, Rev. 4, contains a number of default groupings: 127, 36, 19, and 10 industry classifications. These groups are customized in the national accounts, so it is groupings of industries 117, 69, 38, 21 and 13. This includes the transport sector or the food sector, both of which can be formed by aggregating certain industries. Sectors in the national accounting sense, including the household sector or the financial sector, run across national accounts industries. No specific multipliers have been calculated for the national accounts sectors.
Statistical concepts and definitions
The Green National Accounts: The purpose of the Green National Accounts is to identify the significance of nature for the economic activities, how economic activities affect the environment and how nature is part of our national wealth in a broad sense. These are factors that are important for ensuring sustainable development, and are central to measurement and follow-up on, among other things, United Nations World Development Goal.
The Green National Accounts have been prepared based on the international guidelines set by the UN and other international organizations in the System of Environmental Economic Accounting - Central Framework. This ensures that the Danish Green National Accounts is based on a recognized and tested system, which also enables international comparisons.
Input-output tables: The input-output tables are an organized summary of detailed economic statistical information and describe the relationships between production, imports and final demand in the economy for a given year. An input-output table is a further specification of the national accounts's three main accounts for goods and services, production and income formation, respectively. At the same time, the tables form the basis for setting up a so-called input-output model, which allows for calculations of direct and indirect relationships in the economy.
Environmental multipliers: Environmental multipliers are aggregate measures for the overall environmental impact in all industries in the economy of specific changes in final demand either in a specific sector of a specific final demand category. Effects can be measured in e.g. water consumption, CO2 emissions or other environmental variables.
Statistical unit
The unit in the national accounts industries is basically the local kind of activity unit, which is the smallest unit for which a production account can be set up.
Statistical population
All units generating Danish economic activity.
Reference area
Denmark
Time coverage
The individual multiplier tables do not necessarily cover the same time periods. The time coverage in the energy and emissions tables starts in 1990 in accordance with what is published in the emissions accounts tables. There are a couple of annual updates of both emission accounts and energy accounts. Update of the multiplier tables are done in accordance with this update as well as the annual update of national accounts and input-output tables so that the latest possible data is always available. There will typically be a more limited and less detailed coverage in the last year. The faster emissions accounts show emissions of carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O), divided into only 21 industries for the past year. For this reason, the multiplier tables can not be more detailed.
The tables for water, wastewater and waste cover fewer years, dictated by what was possible at their first drafting in the years 2016-2017. The coverage depends primarily on how many years it has been possible to cover from available sources. The update of water and waste accounts was stopped in 2018 due to lack of resources, but resumed in 2019.
Base period
Time series for coefficients and multipliers are offered in current prices as well as chained values. The chain values have 2010 as the base year.
Unit of measure
The statistics contain both physical and economic variables. Therefore, there is no single continuous measurement unit. They may be, for example, Mio. DKK, Tons, 1000 Tons, m3, Tons per mio. DKK etc. The individual statistics are provided with indications of the units.
Reference period
The multiplier tables refer to the calendar year. The flow measures in the table cover transactions that have taken place during the year.
Frequency of dissemination
This is an annual statistics, but as the underlying statistics are updated more than once a year, new versions of the multiplier tables are also published more than once a year.
Legal acts and other agreements
Data are used in these tables, which are already published in other tables, and therefore no special data was collected for these statistics. The data used is based on the following legislation.
Lov om Danmarks Statistik §§ 6 og 8 - 12. Europa-Parlamentets og Rådets forordning (EU) Nr. 549/2013 af 21.maj 2013 om det europæiske national- og regionalregnskabssystem i Den Europæiske Union (ESA2010) (EUT L 174 26.06.2013, s. 1). Europa-Parlamentets og Rådets forordning nr. 691/2011 om europæiske miljøøkonomiske regnskaber.
Cost and burden
The statistics are based on information from existing statistical sources. Therefore, there is no direct reporting burden in the compilation of these statistics Input-output tables are derived from the final national accounts.
Comment
Further information can be obtained from Statistics Denmark.