Resource Efficiency and Productivity Changes in the G7 and BRICS Nations

Abstract

Energy consumption growth and greenhouse effect deterioration have caused an argument about who should lead the global climate change duty between industrialized and emerging countries. This study investigates the resource efficiency differences between nations in the Group of Seven (G7) and in an association of 5 major emerging economic bodies, including Brazil, Russia, India, China, and South Africa (BRICS). This study applies the data envelopment analysis approach to finding the BRICS group's advantages and pointing out what the G7 group should pay attention to in the future. The conclusion shows that the BRICS group has better technical efficiency improvement than the G7 group, and that the BRICS group is moving toward high energy efficiency. Findings show that the G7 suffers from technical deterioration, with some G7 members also presenting the phenomenon of high emissions.