EMISSIONS FROM INDIRECT LAND USE CHANGE: DO THEY MATTER WITH FUEL MARKET LEAKAGES?

Review of Agricultural and Applied Economics, RAAE, VOL.16, No. 2/2013

ARTICLE TYPE: REGULAR ARTICLE
RECORD ONLINE: 03.09.2013
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KEYWORDS:
biofuels, ethanol, carbon leakage, emissions savings, tax credit, mandate
DOI NUMBER:
10.15414/raae.2013.16.02.03-15
ABSTRACT:
Indirect land use change, an agricultural market leakage, has been a major controversy over the Environmental Protection Agency’s (EPA) requirement for corn-ethanol to reduce greenhouse gas (GHG) emissions by 20 percent relative to gasoline it is assumed to replace. This paper shows that corn-ethanol policies generate far greater carbon leakage in the fuel market itself. Hence, corn-ethanol does not meet EPA’s threshold, regardless of ethanol policy and whether one includes emissions from land use change.
JEL CODES:
Q27, Q41, Q42, Q54
PAGES:
3 - 15
Please Cite this Article as:

Dušan Drabik, Harry de Gorter (2013) Emissions From Indirect Land Use Change: Do They Matter With Fuel Market Leakages?. Review of Agricultural and Applied Economics. XVI (Number 2, 2013): 3-15. doi: 10.15414/raae.2013.16.02.03-15
URL for sharing:

https://roaae.org/1336-9261/doi/abs/10.15414/raae.2013.16.02.03-15

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Review of Agricultural and Applied Economics | ISSN 1336-9261
Faculty of Economics and Management of the Slovak Agricultural University in Nitra and the Association of Agricultural Economists in Slovakia.
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