IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Potential Land Use Implications of a Global Biofuels Industry

Listed author(s):
  • Gurgel Angelo

    (Massachusetts Institute of Technology)

  • Reilly John M

    (Massachusetts Institute of Technology)

  • Paltsev Sergey

    (Massachusetts Institute of Technology)

In this paper we investigate the potential production and implications of a global biofuels industry. We develop alternative approaches to consistently introduce land as an economic factor input and in physical terms into a computable general equilibrium framework. The approach allows us to parameterize biomass production consistent with agro-engineering information on yields and a "second generation" cellulosic biomass conversion technology. We explicitly model land conversion from natural areas to agricultural use in two different ways: in one approach we introduced a land supply elasticity based on observed land supply responses and in the other approach we considered only the direct cost of conversion. We estimate biofuels production at the end of the century could reach 221 to 267 EJ in a reference scenario and 319 to 368 EJ under a global effort to mitigate greenhouse gas emissions. The version with the land supply elasticity allowed much less conversion of land from natural areas, forcing intensification of production, especially on pasture and grazing land, whereas the pure conversion cost model led to significant deforestation. These different approaches emphasize the importance of somehow reflecting the non-market value of land more fully in the conversion decision. The observed land conversion response we estimate may be a short turn response that does not fully reflect the effect of long run pressure to convert land if rent differentials are sustained over 100 years.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by De Gruyter in its journal Journal of Agricultural & Food Industrial Organization.

Volume (Year): 5 (2007)
Issue (Month): 2 (December)
Pages: 1-36

in new window

Handle: RePEc:bpj:bjafio:v:5:y:2007:i:2:n:9
Contact details of provider: Web page:

Order Information: Web:

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:bpj:bjafio:v:5:y:2007:i:2:n:9. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Peter Golla)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.