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aExamples are [11] on photovoltaics in the German city of Braunschweig, [26] on wind energy in the Hanover region, [27] comparing the regional value added of different bioenergy technologies based on projects in Rhineland Palatinate, and [28] with renewable energy employment scenarios for Asturia.
Employee income and regional fiscal revenue are components of regional value added in accordance with the addition method used in the model developed by the Institute for Ecological Economy Research IÖWW) and henceforth referred to as the 'IÖW model'.
Without further calculations, however, it is not possible to establish the third component of the regional value added, as business volume and overall economic activity do not directly correlate with business profits; thus, the results of this study do not represent a complete analysis of value added.
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VEI: Regional value-added exports through the pure domestic segment of GVCs.
In Japan, after-tax profits also contribute the highest share of regional value-added, but it ranges only between 28% (biomass) and 47% ~ 50% (solar, wind, hydro power).
Compared to the above Chinese case, the majority of Japan's regional value-added flow goes to other domestic regions rather than to foreign countries (see Fig. 6).
VOD: regional value-added outflow through the pure domestic segment of GVCs.
VOI: regional value-added outflow through the pure international segment of GVCs.
Fig. 2 Decomposition of regional value-added outflow and export by GVC routes.
VED: regional value-added exports through the pure international segment of GVCs.
Figure 1 Elements of the IÖW model for regional value-added.
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