Land use change impacts of biofuels: Near-VAR evidence from the US
AbstractThe present paper studies the land use change impacts of fuels and biofuels. We test the theoretical hypothesis, which says that changes in fuel prices cause changes in land use both directly and indirectly and that, because of price inter-dependencies, biofuels reinforce the land use change impacts. We apply time-series analytical mechanisms to five major traded agricultural commodities, the cultivated area of agricultural land and crude oil price. Our data consists of yearly observations extending from 1950 to 2007 for the US. The empirical findings confirm that markets for crude oil and cultivated agricultural land are interdependent: an increase in oil price by 1dollar/barrel increases land use between 54,000 and 68,000ha. We also find that the increase of bioenergy sector accelerates land use change in the US, i.e. food commodities are being substituted for bioenergy crops.
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Bibliographic InfoArticle provided by Elsevier in its journal Ecological Economics.
Volume (Year): 84 (2012)
Issue (Month): C ()
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Web page: http://www.elsevier.com/locate/ecolecon
Near-VAR; Energy; Bioenergy; Prices; Land use; Biofuel policies; Climate change;
Other versions of this item:
- Giuseppe Piroli & Pavel Ciaian & d'Artis Kancs, 2011. "Land Use Change Impacts of Biofuels: Near-VAR Evidence from the US," EERI Research Paper Series EERI_RP_2011_11, Economics and Econometrics Research Institute (EERI), Brussels.
- C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
- C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models &bull Diffusion Processes
- C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
- C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
- D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
- Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
- Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
- Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
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- Andrea Bastianin & Marzio Galeotti & Matteo Manera, 2013.
"Food versus Fuel: Causality and Predictability in Distribution,"
2013.23, Fondazione Eni Enrico Mattei.
- Marzio GALEOTTI & Andrea BASTIANIN & Matteo MANERA, 2013. "Food versus Fuel: Causality and Predictability in Distribution," Departmental Working Papers 2013-10, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
- Andrea Bastianin & Marzio Galeotti & Matteo Manera, 2013. "Food versus Fuel: Causality and Predictability in Distribution," Working Papers 241, University of Milano-Bicocca, Department of Economics, revised Mar 2013.
- Pavel Ciaian & d'Artis Kancs & Miroslava Rajcaniova, 2012.
"Bioenergy and Global Land Use Change,"
EERI Research Paper Series
EERI_RP_2012_12, Economics and Econometrics Research Institute (EERI), Brussels.
- Ciaian, Pavel & Kancs, d'Artis & Rajcaniova, Miroslava, 2012. "Bioenergy and Land Use Change," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126379, International Association of Agricultural Economists.
- Heinz-Peter Witzke & Pavel Ciaian & Jacques Delince, 2014. "CAPRI long-term climate change scenario analysis: The AgMIP approach," JRC-IPTS Working Papers JRC85872, Institute for Prospective and Technological Studies, Joint Research Centre.
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