ABSTRACT

This chapter looks primarily at the nexus problem from the perspective of the economic system. It uses the work of the EXIOBASE consortium, which has built one of the most extensive global Multi Regional Environmentally Extended Input–Output analysis (MR EE IO) databases available. The chapter explains the MR EE IO further does not include the environmental system. Hence, for analysing for instance the relation between global warming, the water cycle, and agricultural and land productivity, a totally different set of models is required that is outside the scope. From the description of the MR EE IO approach it is clear that MR EE IO is not suitable to analyse the full nexus problem. The chapter explores the potential of input–output economics (IOE) to study human-nature nexus issues. It takes that a diversity of techniques within IOE could serve different purposes for the study of nexus issues, and focused on four: linkage analysis, dependency analysis, multiplier analysis and scenario analysis.