Agricultural adaptation to climate policies under technical change

Uwe A. Schneider (), Michael Obersteiner, Erwin Schmid and Bruce A. McCarl

No FNU-133, Working Papers from Research unit Sustainability and Global Change, Hamburg University

Abstract: This study uses a partial equilibrium model of the US agricultural sector to examine how technical progress and carbon price levels affect land management adaptation. We find that the climate policy range, over which a more extensive agriculture is preferred, decreases as crop yields increase. Second, technical progress with traditional crops offers less mitigation benefits than progress with mitigation options themselves. Third, while agricultural producers benefit from technical progress on energy crops, they fare worse if technical progress improves traditional crops and low carbon prices.

Keywords: Technical Change; Producer Adaptation; Agricultural Sector Model; Carbon Sequestration; Mathematical Programming; Climate Policy Simulation (search for similar items in EconPapers)
JEL-codes: Q11 Q55 Q58 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-cmp, nep-ene and nep-env
Date: 2007-10, Revised 2008-01
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Persistent link: http://EconPapers.repec.org/RePEc:sgc:wpaper:133

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