Employing Input-Output Model to Assess …
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The significance of this hypothesis allows each department of production to form
a single aggregate that produces a certain product, which enables the model to specifically reflect the different uses of the products of each industrial sector and to explain
its use direction according to different uses. And it does not take into account
the differences in different production technologies and the substitution calculation of products in the internal production process of the industrial sector, which
allows the model to accurately reflect the material loss composition of products in
different sectors. Therefore, a one-to-one correspondence is established between the
production products and the production departments. With this assumption, the material and technical links between departments can be easily represented by material
consumption, which is convenient for calculation and analysis using linear methods.
3.7.2 Stability Assumption of Direct Consumption Coefficient
This assumption means that the direct consumption coefficient aij is stable for a
certain period of time. This stability includes two meanings: on the one hand, the
direct consumption coefficient will not change with time, that is, within a certain
period of time, the production technology level of each department is fixed and
unchanged, which discards the improvement of labor productivity and technological
progress. Factors; On the other hand, the direct consumption coefficient is fixed
among enterprises in the same industrial sector.
3.7.3 Proportionality Assumption
This hypothesis refers to the positive relationship between the input and output
of various sectors of the national economy, that is, as the production of products
increases, the various consumption (inputs) required increase in the same proportion.
This assumption is an extension of the direct consumption coefficient assumption.
4 Case Study 1: Using Input–Output Model to Assess
the Water Footprint of China’s Coal-Fired Power
Generation
In this case study, we introduce how to use IO model to perform a life cycle assessment
for the water footprint of coal-fired power generation. More detailed analysis and
results can be found in our previous published journal article [3].
169
The significance of this hypothesis allows each department of production to form
a single aggregate that produces a certain product, which enables the model to specifically reflect the different uses of the products of each industrial sector and to explain
its use direction according to different uses. And it does not take into account
the differences in different production technologies and the substitution calculation of products in the internal production process of the industrial sector, which
allows the model to accurately reflect the material loss composition of products in
different sectors. Therefore, a one-to-one correspondence is established between the
production products and the production departments. With this assumption, the material and technical links between departments can be easily represented by material
consumption, which is convenient for calculation and analysis using linear methods.
3.7.2 Stability Assumption of Direct Consumption Coefficient
This assumption means that the direct consumption coefficient aij is stable for a
certain period of time. This stability includes two meanings: on the one hand, the
direct consumption coefficient will not change with time, that is, within a certain
period of time, the production technology level of each department is fixed and
unchanged, which discards the improvement of labor productivity and technological
progress. Factors; On the other hand, the direct consumption coefficient is fixed
among enterprises in the same industrial sector.
3.7.3 Proportionality Assumption
This hypothesis refers to the positive relationship between the input and output
of various sectors of the national economy, that is, as the production of products
increases, the various consumption (inputs) required increase in the same proportion.
This assumption is an extension of the direct consumption coefficient assumption.
4 Case Study 1: Using Input–Output Model to Assess
the Water Footprint of China’s Coal-Fired Power
Generation
In this case study, we introduce how to use IO model to perform a life cycle assessment
for the water footprint of coal-fired power generation. More detailed analysis and
results can be found in our previous published journal article [3].