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How Potential Carbon Policies Could Affect Where and How Cotton Is Produced in the United States

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  • Nalley, Lawton Lanier
  • Popp, Michael P.
  • Niederman, Zara
  • Brye, Kristofor R.
  • Matlock, Marty B.

Abstract

Using life cycle assessment methodology, this analysis evaluates how two carbon reduction strategies affect cotton plantings regionally and methods used to produce cotton. Because cotton production emits large amounts of carbon, the design of a reduction policy as either excluding soil sequestration through cap-and-trade or including it through carbon offset is likely to affect the success of the policy. A cap-and-trade program that ignores the amount of carbon cotton would sequester in the soil during its life cycle could increase net emissions by rewarding producers whose crops emit limited carbon directly but also sequester little carbon in the ground.

Suggested Citation

  • Nalley, Lawton Lanier & Popp, Michael P. & Niederman, Zara & Brye, Kristofor R. & Matlock, Marty B., 2012. "How Potential Carbon Policies Could Affect Where and How Cotton Is Produced in the United States," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 41(2), pages 1-17, August.
    • Handle: RePEc:ags:arerjl:132531
    DOI: 10.22004/ag.econ.132531
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    1. Beckman, Jayson & Hertel, Thomas, 2009. "Why Previous Estimates of the Cost of Climate Mitigation are Likely Too Low," GTAP Working Papers 2954, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
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    1. Nalley, Lanier & Popp, Michael & Niederman, Zara, 2013. "Embedded Seed Technology and Greenhouse Gas Emissions Reductions: A Meta-Analysis," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 45, pages 1-13, August.

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