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An Optimal Control Model of Forest Carbon Sequestration

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Author Info
Brent Sohngen
Robert Mendelsohn

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Abstract

This study develops an optimal control model of carbon sequestration and energy abatement to explore the potential role of forests in greenhouse gas mitigation. The article shows that if carbon accumulates in the atmosphere, the rental price for carbon sequestration should rise over time. From an empirical model, we find that carbon sequestration is costly, but that landowners can sequester substantial amounts of carbon in forests mainly by increasing forestland and lengthening rotations. Forest sequestration is predicted to account for about one-third of total carbon abatement. Tropical forests store over two-thirds of this added carbon. Copyright 2003 American Agricultural Economics Association.

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Publisher Info
Article provided by American Agricultural Economics Association in its journal American Journal of Agricultural Economics.

Volume (Year): 85 (2003)
Issue (Month): 2 (05)
Pages: 448-457
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Handle: RePEc:bla:ajagec:v:85:y:2003:i:2:p:448-457

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  1. Graeme Guthrie & Dinesh Kumareswaran, 2009. "Carbon Subsidies, Taxes and Optimal Forest Management," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 43(2), pages 275-293, June. [Downloadable!] (restricted)
  2. Maurice Roche & JASMINA BEHAN, & KIERAN MCQUINN, 2003. "Trees Or Trotters?," Economics, Finance and Accounting Department Working Paper Series n1301003, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth. [Downloadable!]
  3. Hediger, Werner, 2009. "The non-permanence of optimal soil carbon sequestration," 83rd Annual Conference, March 30-April 1, 2009, Dublin, Ireland 51057, Agricultural Economics Society. [Downloadable!]
  4. Massimo Tavoni & Valentina Bosetti & Brent Sohngen, 2007. "Forestry and the Carbon Market Response to Stabilize Climate," Working Papers 2007.15, Fondazione Eni Enrico Mattei. [Downloadable!]
    Other versions:
  5. Acosta, Montserrat & Sohngen, Brent, 2009. "How big is leakage from forestry carbon credits? Estimates from a Global Model," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49468, Agricultural and Applied Economics Association. [Downloadable!]
  6. Daiju Narita, 2009. "Economic Optimality of CCS Use: A Resource-Economic Model," Kiel Working Papers 1508, Kiel Institute for the World Economy. [Downloadable!]
  7. Kim, Yoon Hyung & Sohngen, Brent, 2009. "Assessing the Uncertainty of Land Based Carbon Sequestration: A Parameter Uncertainty Analysis with a Global Land Use Model," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49416, Agricultural and Applied Economics Association. [Downloadable!]
  8. Ovchinnikova, Natalia & Lynne, Gary & Sautter, John & Kruse, Colby, 2006. "What motivates farmers to sequester carbon: an impirical investigation," 2006 Annual meeting, July 23-26, Long Beach, CA 21288, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  9. Duarte, Clara Costa & Sa, Maria A. Cunha e, 2006. "Forest vintages and carbon sequestration," FEUNL Working Paper Series wp482, Universidade Nova de Lisboa, Faculdade de Economia. [Downloadable!]
  10. Sathaye, Jayant A. & Anger, Niels, 2008. "Reducing Deforestation and Trading Emissions: Economic Implications for the post-Kyoto Carbon Market," ZEW Discussion Papers 08-016, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research. [Downloadable!]
  11. Uwe A. Schneider, 2004. "Land use decision modeling with dynamically updated soil carbon emission rates," Working Papers FNU-51, Research unit Sustainability and Global Change, Hamburg University, revised Apr 2004. [Downloadable!]
  12. McCarney, Geoffrey R. & Armstrong, Glen W. & Adamowicz, Wiktor L., 2006. "Implications Of A Market For Carbon On Timber And Non-Timber Values In An Uncertain World," Annual Meeting, May 25-28, 2006, Montreal, Quebec 34175, Canadian Agricultural Economics Society. [Downloadable!]
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