Impacts of Local Resource Scarcity Risk on Global Trade Network

water scarcity;risk analysis;international trade;multiregional input-output analysis;Natural Resources and Environment

Zhu, ZeqiLiang, Sai ;

University of Michigan

关键词: water scarcity;    risk analysis;    international trade;    multiregional input-output analysis;    Natural Resources and Environment;   

Others  :  https://deepblue.lib.umich.edu/bitstream/handle/2027.42/117669/Impacts%20of%20Local%20Resource%20Scarcity%20Risk%20on%20Global%20Trade%20Network_ZeqiZhu.pdf?sequence=1&isAllowed=y

瑞士|英语

来源: The Illinois Digital Environment for Access to Learning and Scholarship

【 摘 要 】

Local resource scarcity risk can transcend beyond national borders through international trade activities. However, there lacks a system-based approach to evaluate such risk posed from local resource scarcity to the trade-connected global economy. Using water resource as an example, this research develops a probabilistic framework to examine the impacts of local resource scarcity risk on the global trade network. Impacts of both country-level and basin-levellocal water scarcity risk on the global trade network are evaluated based on the data from Eora database, AQUASTAT database, and Water Footprint Network. The results identify top country-sectors in virtual water scarcity risk exports, including agriculture in major economies including Colombia, USA, Italy, France and Spain, which are critical for the resilience of the global economy against water scarcity risks. The results also identify top country-sectors invirtual water scarcity risk imports, showing the vulnerable sectors to local water scarcity risks of upstream suppliers. In addition, the basin model identifies the importance of local water scarcity risks of international basins, which indicates a need in peaceful cross-border cooperation to mitigate water scarcity risks. Overall, these findings provide implications to policy makers and corporate executives in developing strategies for mitigating water scarcity risks.