@@ -156,20 +156,9 @@ We assess under what conditions European energy inequality is compatible with th
# Methods
We first decomposed national household final demand expenditure in the Environmentally-Extended Multi-Regional Input-Output (EE-MRIO) model EXIOBASE (version3, industry-by-industry) (ref), by income quintile, using European household budget survey (HBS) macro-data from EUROSTAT (ref). The EUROSTAT HBS publishes national data on mean consumption expenditure by income quintile (in purchasing power standard - PPS) and the structure of consumption expenditure by income quintile and COICOP consumption category. We mapped the EXIOBASE sectors to one of the COICOP consumption categories (our mapping can be found in the supplementary information), and used the relative shares of each COICOP consumption category between the income quintiles in the HBS to decompose the EXIOBASE national household final demand expenditure per sector by income quintile as well. We then multiplied this income-stratified EXIOBASE national household final demand expenditure by ‘total’ energy use and carbon intensities per EXIOBASE sector, calculated in EXIOBASE using standard input-output calculations, to estimate national household energy and carbon footprints stratified by income quintile. Finally, we then ranked these national income quintiles within Europe, according to their mean consumption expenditure in PPS, to decompose the total European energy and carbon footprint by European expenditure decile. Everything is normalized by adult equivalent unit, following the EUROSTAT HBS. The data and procedures are described in detail in the supplementary information (SI).
Terms to define:
- *Adult equivalents: we use households as unit of analysis because it is the most relevant unit. Because household sizes are different in different countries and income groups we use adult equivalent units made by Eurostat for this purpose.*
- *European deciles: we aggregate the data of 30 European countries with 5 income groups each into 10 European expenditure groups. we call this European, but some are missing and Turkey is there.*
- *10:10 ratio: is a measure of inequality in quantile distributions. we here mean that we divide the average value of the population in the top decile by that of the bottom decile. for expenditure, for example, a 10:10 ratio of 5 means that households in the top decile spend 5 times more on average than those in the bottom decile.*
- *Ressource footprints: energy, what type, GHGs what gases, including direct*
- *MRIO*
We first decomposed national household final demand expenditure in the Environmentally-Extended Multi-Regional Input-Output (EE-MRIO) model EXIOBASE (version3, industry-by-industry) (ref), by income quintile, using European household budget survey (HBS) macro-data from EUROSTAT (ref). The EUROSTAT HBS publishes national data on mean consumption expenditure by income quintile (in purchasing power standard - PPS) and the structure of consumption expenditure by income quintile and COICOP consumption category. We mapped the EXIOBASE sectors to one of the COICOP consumption categories (our mapping can be found in the SI), and used the relative shares of each COICOP consumption category between the income quintiles in the HBS to decompose the EXIOBASE national household final demand expenditure per sector by income quintile as well. We then multiplied this income-stratified EXIOBASE national household final demand expenditure by ‘total’ energy use and carbon intensities per EXIOBASE sector, calculated in EXIOBASE using standard input-output calculations, to estimate national household energy and carbon footprints stratified by income quintile. The energy footprint is the gross total energy use energy extension in EXIOBASE, which converts final energy consumption in the IEA energy balance data from the territorial to residence principle following SEEA energy accounting (ref - Stadler et al.). The carbon footprint includes CO2, CH4, N2O, SF6, HFCs and PFCs, from combustion, non-combustion, agriculture and waste, but not land-use change. For both footprints, direct energy use and carbon emissions from households is included, with the total split between shelter, transport and manufactured goods using further data from EUROSTAT on this split.
Finally, we aggregated the data of 30 European countries with 5 income groups each into 10 European expenditure groups, to decompose the total European household energy and carbon footprint by European expenditure decile, ranking each national income group according to their mean consumption expenditure in PPS. We call these European expenditure deciles, although only countries with EUROSTAT data from 2005 to 2015 are included, which excludes Italy and Luxembourg, but includes Turkey. We use households normalized by adult equivalent unit as the unit of analysis, following the EUROSTAT HBS. The adult equivalent units from EUROSTAT adjust for household size in different countries and income groups. As inequality measure through the study, we divide the average value of the population in the top decile by that of the bottom decile, a 10:10 ratio. For example, in expenditure, a 10:10 ratio of 5 means that adult equivalent units in the top decile spend 5 times more on average than those in the bottom decile. The data and procedures are described in detail in the supplementary information (SI).
