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The Welfare Effects of Greenhouse Gas Emissions in German Pork Production AgEcon
Heinrich, Barbara; von Cramon-Taubadel, Stephan.
Greenhouse gas (GHG) emissions are an externality of the pork production process. To respond to climate change concerns and reduce GHG emissions, internalizing this external effect using a market-based economic instrument would be economically efficient. We calculate the welfare effects of GHG emissions using a partial equilibrium model of the German pork market. Sensitivity analysis is used to investigate the impacts of emission prices and emission rates on the welfare effects of reducing GHG emissions. Potential overall welfare gains amount to roughly € 360,000 in the base setting and increase to roughly € 3 million when emission prices are tripled. This sensitivity highlights the need for more dependable estimates of key parameters such as emission...
Tipo: Conference Paper or Presentation Palavras-chave: Welfare effects; Greenhouse gas emissions; Pork production; Partial equilibrium model; Environmental Economics and Policy; Food Consumption/Nutrition/Food Safety; H23; Q18; Q54.
Ano: 2011 URL: http://purl.umn.edu/108793
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