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B. Böhm, M. Luptacik:
"Measuring Eco-efficiency in a Leontief Input-Output Model";
Talk: International Workshop "Multi Criteria Decision Making", Ustron, Poland (invited); 2005-04-02 - 2005-04-06; in: "Multiple-Criteria Decision Making '05", T. Trzaskalik (ed.); Publisher of the Karol Adamiecki University of Economics in Katowice, Katowice (2006), ISBN: 83-7246-843-5; 121 - 135.

Eco-efficiency can be characterised such that goods and services can be produced with less energy and resources and less waste emissions. Let the production possibility frontier of the economy be determined by the input-output model, extended by primary inputs, pollution generation and abatement. The degree by which a net-output vector could be extended for given primary inputs and environmental standards can be considered as measure of eco-inefficiency. This could equivalently be achieved by a reduction of primary inputs for given environmental standards and given final demand.
In the first part of the paper radial and slack based measures of eco-efficiency will be derived. In the second part we propose another approach based on the construction of a production possibility frontier. For this purpose a multi-objective optimization problem with maximisation of final demand for each commodity subject to constraints on the primary inputs is formulated. Then, using data envelopment analysis with the production possibility frontier as the standard envelope, the eco-efficiency of an economy will be estimated. The eco-efficiency values for the radial efficiency measure and the one based on the DEA model coincide. A demonstration of the viability of these methods and their relationships will be given using Austrian input-output and NAMEA data.

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