In economics, joint product is a
product that results jointly with other products from processing a common
input; this common process is also called joint production.[1] A joint product can be the output of a process with
fixed or variable proportions.
Examples
The processing of
crude oil can result in the joint products
naphtha,
gasoline,
jet fuel,
kerosene,
diesel,
heavy fuel oil and
asphalt, as well as other petrochemical derivatives. The refinery process has variable proportions depending on the distilling temperatures and cracking intensity.
Cogeneration delivers the joint products of heat and power; trigeneration provides cold, heat and power. With extraction steam turbines, cogeneration has variable proportions; with an internal combustion engine the proportions of heat and power are fixed.
The
chloralkali process, one of the basic processes in the chemical industry, is the electrolysis of sodium chloride (common salt) providing the joint products
chlorine,
sodium hydroxide and
hydrogen. Due to the molar relation in the chemical equation, the proportions are fixed.
^Wouters, Mark; Selto, Frank H.; Hilton, Ronald W.; Maher, Michael W. (2012): Cost Management: Strategies for Business Decisions, International Edition, Berkshire (UK), p. 532.