Carbon markets, transaction costs and bioenergy Report as inadecuate




Carbon markets, transaction costs and bioenergy - Download this document for free, or read online. Document in PDF available to download.

Payment for carbon sequestration by agriculture and forestry can provide incentives for adoption ofsustainable agricultural practices. However, a project involving contracts with farmers may face hightransaction costs in showing that net emission reductions are real and attributable to the project. Thispaper presents a model of project participation that includes transaction and abatement costs. A projectfeasibility frontier (PFF) is derived, which shows the minimum project size that is feasible for anygiven market price of carbon. The PFF is used to analyse how the design of a climate mitigationprogram may affect the feasibility of actual projects.

Keywords: Climate Policy ; Greenhouse Effect ; Carbon Sequestration ; Agroforestry ; Transaction Costs

Subject(s): Environmental Economics and Policy

Issue Date: 2008

Publication Type: Conference Paper/ Presentation

PURL Identifier: http://purl.umn.edu/6007

Total Pages: 17

Series Statement: Conference Paper

Record appears in: Australian Agricultural and Resource Economics Society (AARES) > 2008 Conference (52nd), February 5-8, 2008, Canberra, Australia





Author: Cacho, Oscar J.

Source: http://ageconsearch.umn.edu/record/6007?ln=en



DOWNLOAD PDF




Related documents