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The regional effects of a biomass fuel industry on US agriculture

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  • Gallagher, Paul W.

Abstract

This study looks at the potential competitiveness of the emerging biomass-based biofuel industry in the current economic environment. A simulation model suggests that a mature biomassbased biofuel industry is potentially competitive with gasoline, and capable of filling a significant fraction of motor fuel supplies. However, the existing land policy has a narrow definition of agricultural land for a biomass-based fuel industry. A broader definition of agricultural land suitable for biomass inputs would reduce biofuel processing costs, relieve the food versus fuel conflict, and increase the net gain to fuel consumers, food consumers, and producers of food and fuel.

Suggested Citation

  • Gallagher, Paul W., 2014. "The regional effects of a biomass fuel industry on US agriculture," Energy Policy, Elsevier, vol. 69(C), pages 598-609.
    • Handle: RePEc:eee:enepol:v:69:y:2014:i:c:p:598-609
    DOI: 10.1016/j.enpol.2014.02.037
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    References listed on IDEAS

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    1. Gallagher, Paul W. & Shapouri, Hosein, 2008. "Biomass Crop and Ethanol Supply from Agricultural Lands in the United States with Methodology, Estimation Results, and State-by-State Simulations," Agricultural Economic Reports 308485, United States Department of Agriculture, Economic Research Service.
    2. Richards, Timothy J. & Patterson, Paul M., 2003. "A Bilateral Comparison Of Fruit And Vegetable Consumption: U.S And Canada," 2003 Annual meeting, July 27-30, Montreal, Canada 21891, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Wilson, William W. & Gallagher, Paul W., 1990. "Quality Differences And Price Responsiveness Of Wheat Class Demands," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 15(02), December.
    4. Gallagher, Paul W. & Brubaker, Heather & Shapouri, Hosein, 2005. "Plant size: Capital cost relationships in the dry mill ethanol industry," ISU General Staff Papers 200506010700001442, Iowa State University, Department of Economics.
    5. Gallagher, Paul W. & Dikeman, Mark & Fritz, John & Wailes, Eric J. & Gauthier, Wayne M. & Shapouri, Hosein, 2003. "Biomass From Crop Residues: Cost And Supply Estimates," Agricultural Economic Reports 34063, United States Department of Agriculture, Economic Research Service.
    6. Paul W. Gallagher, 1998. "Some Productivity-Increasing and Quality-Changing Technology for the Soybean Complex: Market and Welfare Effects," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 165-174.
    7. Gallagher, Paul W. & Brubaker, Heather & Shapouri, Hosein, 2005. "Plant Size: Capital Cost Relationships in the Dry Mill Ethanol Industry," Staff General Research Papers Archive 12306, Iowa State University, Department of Economics.
    8. Gallagher, Paul W. & Dikeman, Mike & Fritz, J. & Wailes, Eric J. & Gauthier, W. & Shapouri, H., 2003. "Biomass from Crop Residues: Some Cost and Supply Estimates," Staff General Research Papers Archive 10240, Iowa State University, Department of Economics.
    9. Huang, Kuo S. & Lin, Biing-Hwan, 2000. "Estimation of Food Demand Nutrient Elasticities from household Survey Data," Technical Bulletins 184370, United States Department of Agriculture, Economic Research Service.
    10. Gallagher, Paul W., 1998. "Some Productivity-Increasing and Quality-Changing Technology for the Soybean Complex: Market and Welfare Effects," Staff General Research Papers Archive 1203, Iowa State University, Department of Economics.
    11. Wilson, William W. & Gallagher, Paul, 1990. "Quality Differences and Price Responsiveness of Wheat Class Demands," ISU General Staff Papers 199012010800001447, Iowa State University, Department of Economics.
    12. Gallagher, Paul W. & Dikeman, Mark & Fritz, J. & Wailes, Eric J. & Shapouri, H., 2003. "Biomass from Crop Residues: Some Social Cost and Supply Estimates for U.S. Crops," Staff General Research Papers Archive 5124, Iowa State University, Department of Economics.
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    Cited by:

    1. Mohamed Abdul Ghani, N. Muhammad Aslaam & Vogiatzis, Chrysafis & Szmerekovsky, Joseph, 2018. "Biomass feedstock supply chain network design with biomass conversion incentives," Energy Policy, Elsevier, vol. 116(C), pages 39-49.

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