Macroeconomic water resources input-output analysis in Shandong Province

The allocation of water resources is linked to economic conditions, and the input-output analysis methods of macroeconomic water are applied to analyse the macroeconomic impact of water resources on Shandong Province. By calculating the input and output coefficients of water resources in 14 industries in Shandong Province, the water use conditions and water use efficiency of various industry sectors in the production process are analysed to provide the basis for the optimal allocation of water resources in Shandong Province. After data analysis, the following conclusions have been drawn. The direct water consumption coefficients for agriculture, power, paper, and petroleum industries are relatively large, while the total water consumption coefficients for agriculture, food, textile, and paper industries are relatively large. The food, textile, and engineering industries have higher water consumption multipliers. From 1997 to 2007, the direct and indirect water consumption of all industries showed a downward trend, which is closely related to the water saving policy. It should be advocated to export products with high benefit and low water consumption and import agricultural and industrial products for alleviating pressure of water shortages by trade forms. In addition, using the added value and water consumption of all industry sectors evaluates the production efficiency, which plays an important assistance in water resources allocation and planning.