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This lecture covers the matrix formulation of Material and Energy Flow Analysis (MFA), comparing process MFA and Input-Output analysis, understanding Input-Output tables, and solving MFAs in matrix form. It also discusses the management of construction materials and waste, the model definition for MFA, and the environmental impact of glass recycling. The lecture explores the rationale for Input-Output Analysis, historical background, and policy relevance, emphasizing the importance of understanding economic inter-linkages and resource impacts. Additionally, it delves into the Input-Output model's accounting equation, balanced MSUT, and environmentally extended tables, providing insights into satellite accounts and multipliers.