Email this article 
Economic effect of non-renewable and renewable energy on South Korea's agri-food sector: an input-output analysis
Abstract
South Korea’s Green New Deal has sparked debate over the balance between economic growth and environmental sustainability. While promising in concept, prior studies reveal tensions between these goals. This study empirically examines the economic viability of renewable energy policies using the Bank of Korea’s input-output (I/O) table to analyze the agri-food sector. Results show that non-renewable energy investments remain more economically profitable: a 1 million KRW investment yields 22,607 KRW more in production, 7,898 KRW more in value-added, and 2,004 KRW more in wages compared to renewables. However, non-renewables expose the economy to greater risk, supply shortages of 1 million KRW in this sector result in 53,484 KRW more in production losses than renewables. Thus, while non-renewable energy offers short-term economic advantages, renewable energy provides greater resilience. Long-term sustainability and reduced vulnerability to supply disruptions underscore the importance of transitioning toward renewable energy in building a stable and future-ready economy.
Keywords
Full Text:
PDFReferences
Chel, K. (2010). Renewable energy for sustainable agriculture To cite this version : Review article. Agronomy for Sustainable Development, 31(1), 91–118.
Ezalia, E., R, I. E., Elizabeth, G., My, W. A. N. H., Norhanim, A., Wahidah, A., Ym, C., Rahimah, A., Chin, J. G., Juliana, I., Hamid, A., Gunasagaran, K., Amir, J., John, P., Azmi, A., Mangantig, E., Hockham, C., Ekwattanakit, S., Bhatt, S., … Mary Anne Tan, J.-A. (2020). No 主観的健康感を中心とした在宅高齢者における 健康関連指標に関する共分散構造分析Title. Orphanet Journal of Rare Diseases, 21(1), 1–9. https://doi.org/10.1155/2010/706872
Garrett-Peltier, H. (2017). Green versus brown: Comparing the employment impacts of energy efficiency, renewable energy, and fossil fuels using an input-output model. Economic Modelling, 61(March 2016), 439–447. https://doi.org/10.1016/j.econmod.2016.11.012
Han, S., Yoo, S., & Kwak, S. (2004). The role of the four electric power sectors in the Korean national economy : an input – output analysis. 32, 1531–1543. https://doi.org/10.1016/S0301-4215(03)00125-3
Kim, J. H., Kim, S. Y., & Yoo, S. H. (2020). Economic effects of individual heating system and district heating system in South Korea: An input-output analysis. Applied Sciences (Switzerland), 10(15), 1–14. https://doi.org/10.3390/app10155037
Kim, J. H., & Yoo, S. H. (2021). Comparison of the economic effects of nuclear power and renewable energy deployment in South Korea. Renewable and Sustainable Energy Reviews, 135(August 2020), 110236. https://doi.org/10.1016/j.rser.2020.110236
Kim, K., Kim, J., & Yoo, S. (2020). An Input-Output Analysis of the Economic Role and E ff ects of the Mining Industry in South Korea.
Norse, D. and Tschirley, J. (2003). Agriculture and the environment: changing pressures, solutions and trade-offs. World Agriculture: Toward 2015/2030, 331–356.
Silva, P. P. (2013). Employment effects and renewable energy policies : applying input-output methodology to Portugal. 9(3).
Sulewski, P. (2017). The importance of agriculture in the renewable energy production in Poland and EU. 1(350), 50–74. https://doi.org/10.5604/00441600.1232992
Weisz, H., & Duchin, F. (2006). Physical and monetary input-output analysis: What makes the difference? Ecological Economics, 57(3), 534–541. https://doi.org/10.1016/j.ecolecon.2005.05.011
DOI: https://doi.org/10.21107/agriekonomika.v14i2.31213
Refbacks
- There are currently no refbacks.
