Consumption-based Carbon Emissions and International Carbon Leakage: An Analysis Based on the WIOD Database

The worldwide increase in consumption levels is a major cause of the dramatic rise in greenhouse gas （GHG） emissions. A thorough understanding of the dynamics of consumption-based carbon emissions and the factors influencing it would facilitate the design of climate policies. This article employs data in the multi-regional input-output tables and on sectoral carbon emissions from the World Input-Output Database （WIOD） to develop a multi-regional input-out （MR/O） model, setting up a consumption-based carbon emission accounting inventory and analyzing global consumption-based carbon emissions and the spillover effects of international carbon emissions. The results show that global consumption- based carbon emissions in 2009 were 28850 Mt, of which about 20 percent were embodied in international trade. A large part of these emissions derived from production in and exportsfrom China and the region comprising Brazil, Russia, India, Indonesia, Australia and Turkey （BRIIAT）, production and exports which were consumed in NAFTA and the Eurozone. If the factor of intemational trade is taken into consideration, the inter-regional gap in carbon emission intensity narrows, ranging from 2.4 t （BRIIAT） to 14.7 t （NAFTA） consumption-based emissions per capita. Whereas embodied imported carbon accounted for 33 percent and 17 percent in NAFTA and the Eurozone respectively, 29 percent of China＇s carbon emissions were caused by the consumption of other countries. Therefore, setting up a consumption-based carbon emission accounting inventory has become increasingly important for international climate negotiations. Moreover, allocating responsibility for carbon emissions between the producer and the consumer will help change the existing mode of consumption and promote emission reduction.

India＇s Engagement With Indonesia： Potentiality Lies in Air Services

Global financial crisis and subsequent protectionist measures of US government motivated Indian government to look for opportunities towards ASEAN nations through ＂Look East Policy.＂ While scouting for opportunities, it was found that Indonesian air services market is buoyant and promising where Indonesia has recently liberalized its open sky policies for inviting domestic as well as foreign investment. Time is appropriate for Indian government to negotiate on how India can participate in Indonesian domestic market and provide air services to its consumers. The paper tries to analyze how Indian private domestic airlines can enter into the markets of Indonesia and whether they would be able to provide such services. It further tries to examine that certain value addition services in terms of auxiliary air services are currently required for Indonesia. To that extent, how is India going to capitalize such opportunities by providing such competitive value addition services？ Indonesia is currently witnessing frequent air accidents and making safety as a major concern for consumers. It tries to argue whether India can provide technical and other support services to reduce such hazards. The research methodology includes Input-Output Table calculating using WIOD （World Input Output Database） database. National Input-Output Table for analyzing Indonesian air services was also consulted for authors＇ own calculations