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Modeling Pine as a Carbon-Sequestering Crop in Arkansas

Published online by Cambridge University Press:  15 September 2016

S. Aaron Smith ,
Michael P. Popp ,
L. Lanier Nalley  and
Kristofor R. Brye
S. Aaron Smith
Affiliation:
Department of Environmental Dynamics at the University of Arkansas
Michael P. Popp
Affiliation:
Department of Agricultural Economics and Agribusiness at the University of Arkansas
L. Lanier Nalley
Affiliation:
Department of Agricultural Economics and Agribusiness at the University of Arkansas
Kristofor R. Brye
Affiliation:
Department of Crop, Soil, and Environmental Science at the University of Arkansas
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Abstract

This study estimates the impact of carbon offset payments on land use choices, net producer returns, and carbon sequestration. Loblolly pine is added to traditional cropping choices as a designated carbon-sequestering crop. With a carbon offset price of $15 per ton, pine enters land use on 10 percent of pasture acres. At $30, loblolly pine significantly increases in acreage in areas traditionally planted in row crops. The analysis suggests that the addition of pine as a carbon-sequestering crop can affect land use, add to producer returns, and sequester additional carbon relative to producer choice sets that exclude pine.

Keywords

carbon offsetscarbon sequestrationloblolly pine
Type
Research Article
Information
Agricultural and Resource Economics Review , Volume 41 , Issue 2 , August 2012 , pp. 232 - 246
Copyright
Copyright © 2012 Northeastern Agricultural and Resource Economics Association 

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