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What is environmental Input-Output Analysis (IOA)?

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    Input-Output Analysis (or short "IOA") is a method that tracks all financial transactions between industrial sectors and consumers within an economy. By adding environmental information, such as greenhouse gas emissions, to each sector it becomes possible to assign an environmental burden (a "footprint") to these financial transactions. Similar to following the flow of money, or costs, from production to consumption, an environmentally extended input-output model allows following the flow of environmental footprints along supply and production chains. As each production step adds an environmental burden, the result is a life-cycle inventory of impacts of production and consumption, e.g. carbon, water or ecological footprints of companies, organisations, sectors, individuals, regions or countries.

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