Twenty five years of industrial development: a study of resource use rates and macro-efficiency indicators for five Asian countries

Economic and population growth in Asia over the last three decades has been unprecedented. While conventional economic indicators have been increasing consistently, indicators of resource and environmental quality have been deteriorating, raising questions about the implications of future growth. Economic growth in the future is considered to be contingent on ensuring a more efficient use of natural resources, while simultaneously striving to reduce environmental impacts. We examine time trends of three efficiency indicators; agricultural efficiency, energy efficiency of economic production and carbon efficiency of energy use, for the five most populous countries in Asia in order to assess whether industrial development has lead to increased resource use efficiency and an associated reduction in total resource use and environmental impacts. Our results indicate that agricultural efficiency has decreased in all five countries. Results are mixed for energy and carbon efficiencies. Where increases in energy and carbon efficiency have occurred, they have been completely overwhelmed by absolute increases in energy use and carbon emissions caused by increases in the scale of economic activity. Based on this analysis, we study the potential for further improvements and policy implications for future food supply, energy consumption and carbon emissions in the region.