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Are there Carbon Savings from US Biofuel Policies? Accounting for Leakage in Land and Fuel Markets AgEcon
Bento, Antonio M.; Klotz, Richard; Landry, Joel R..
This paper applies the insights of the carbon leakage literature to study the emissions consequences of biofuel policies. We develop a simple analytic framework to decompose the intended emissions impacts of biofuel policy from four sources of carbon leakage: domestic fuel markets, domestic land markets, world land markets and world crude oil markets. A numerical simulation model illustrates the magnitude of each source of leakage for combinations of two current US biofuel policies: the Volumetric Ethanol Excise Tax Credit (VEETC) and the Renewable Fuel Standard (RFS). In the presence of both land and fuel market leakage, current US biofuel policies are unlikely to reduce greenhouse gases. Four of the five policy scenarios we consider lead to increases in...
Tipo: Conference Paper or Presentation Palavras-chave: Multi-market; Carbon leakage; Biofuels; Greenhouse gases; Agricultural and Food Policy; Land Economics/Use; Resource /Energy Economics and Policy; Q42; Q54; Q58.
Ano: 2011 URL: http://purl.umn.edu/104008
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Economic Surplus Measurement in Multi-Market Models AgEcon
Zhao, Xueyan; Mullen, John D.; Griffith, Garry R..
Despite continuing controversy, economic surplus concepts have continued to be used in empirical cost-benefit analyses as measures of welfare to producers and consumers. In this paper, the issue of measuring changes in producer and consumer surplus resulting from exogenous supply or demand shifts in multi-market models is examined using a two-input and two-output equilibrium displacement model. When markets are related through both demand and supply, it is shown that significant errors are possible when conventional economic surplus areas are used incorrectly. The economic surplus change to producers or consumers should be measured sequentially in the two markets and then added up.
Tipo: Working or Discussion Paper Palavras-chave: Equilibrium displacement model; Multi-market; Economic surplus; R&D evaluation; Demand and Price Analysis.
Ano: 2005 URL: http://purl.umn.edu/12910
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