IDEAS home Printed from https://ideas.repec.org/a/eee/forpol/v120y2020ics1389934120302914.html
   My bibliography  Save this article

How effective are forests in mitigating climate change?

Author

Listed:
  • van Kooten, G. Cornelis

Abstract

Nordhaus' DICE model is used to investigate the economics of planting trees on 900 million ha of lands that can be reforested or afforested, as proposed by a number of researchers. By looking at the most optimistic restoration case, a large terrestrial sink can reduce projected future temperatures by more than 30%, with accompanying smaller marginal damages. It also turns out that optimal levels of industrial emissions increase, thereby reducing the beneficial temperature response of the forestry investment. While the results appear optimistic, the forestry project takes too long to have an impact if climate change is considered to be an urgent problem. Based on the analysis, one can conclude that the forestry tool needs to be implemented immediately or not at all.

Suggested Citation

  • van Kooten, G. Cornelis, 2020. "How effective are forests in mitigating climate change?," Forest Policy and Economics, Elsevier, vol. 120(C).
    • Handle: RePEc:eee:forpol:v:120:y:2020:i:c:s1389934120302914
    DOI: 10.1016/j.forpol.2020.102295
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1389934120302914
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.forpol.2020.102295?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. William Nordhaus, 2018. "Evolution of modeling of the economics of global warming: changes in the DICE model, 1992–2017," Climatic Change, Springer, vol. 148(4), pages 623-640, June.
    2. Giacomo Grassi & Jo House & Frank Dentener & Sandro Federici & Michel den Elzen & Jim Penman, 2017. "The key role of forests in meeting climate targets requires science for credible mitigation," Nature Climate Change, Nature, vol. 7(3), pages 220-226, March.
    3. Nordhaus, William, 2013. "Integrated Economic and Climate Modeling," Handbook of Computable General Equilibrium Modeling, in: Peter B. Dixon & Dale Jorgenson (ed.), Handbook of Computable General Equilibrium Modeling, edition 1, volume 1, chapter 0, pages 1069-1131, Elsevier.
    4. William D. Nordhaus, 2017. "Evolution of Assessments of the Economics of Global Warming: Changes in the DICE model, 1992 – 2017," NBER Working Papers 23319, National Bureau of Economic Research, Inc.
    5. Zhen Xu & Carolyn E. Smyth & Tony C. Lemprière & Greg J. Rampley & Werner A. Kurz, 2018. "Climate change mitigation strategies in the forest sector: biophysical impacts and economic implications in British Columbia, Canada," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 23(2), pages 257-290, February.
    6. G. Cornelis van Kooten & Craig M.T. Johnston, 2016. "The Economics of Forest Carbon Offsets," Annual Review of Resource Economics, Annual Reviews, vol. 8(1), pages 227-246, October.
    7. Johnston, Craig M.T. & Cornelis van Kooten, G., 2015. "Back to the past: Burning wood to save the globe," Ecological Economics, Elsevier, vol. 120(C), pages 185-193.
    8. Withey, Patrick & Johnston, Craig & Guo, Jinggang, 2019. "Quantifying the global warming potential of carbon dioxide emissions from bioenergy with carbon capture and storage," Renewable and Sustainable Energy Reviews, Elsevier, vol. 115(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. G. Cornelis van Kooten & Mark E. Eiswerth & Jonathon Izett & Alyssa R. Russell, 2021. "Climate Change and the Social Cost of Carbon: DICE Explained and Expanded," Working Papers 2021-01, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
    2. Soler, Rosina & Lorenzo, Cristian & González, Joel & Carboni, Lucas & Delgado, Juan & Díaz, Mayra & Toro Manríquez, Mónica D.R. & Alejandro, Huertas Herrera, 2021. "The politics behind scientific knowledge: Sustainable forest management in Latin America," Forest Policy and Economics, Elsevier, vol. 131(C).
    3. Chu, Long & Grafton, R. Quentin & Nguyen, Hai, 2022. "A global analysis of the break-even prices to reduce atmospheric carbon dioxide via forest plantation and avoided deforestation," Forest Policy and Economics, Elsevier, vol. 135(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. G. Cornelis van Kooten & Mark E. Eiswerth & Jonathon Izett & Alyssa R. Russell, 2021. "Climate Change and the Social Cost of Carbon: DICE Explained and Expanded," Working Papers 2021-01, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
    2. Daigneault, Adam & Johnston, Craig & Korosuo, Anu & Baker, Justin S. & Forsell, Nicklas & Prestemon, Jeffrey P. & Abt, Robert C., 2019. "Developing Detailed Shared Socioeconomic Pathway (SSP) Narratives for the Global Forest Sector," Journal of Forest Economics, now publishers, vol. 34(1-2), pages 7-45, August.
    3. Kent D. Daniel & Robert B. Litterman & Gernot Wagner, 2016. "Applying Asset Pricing Theory to Calibrate the Price of Climate Risk," NBER Working Papers 22795, National Bureau of Economic Research, Inc.
    4. Parantap Basu & Tooraj Jamasb, 2019. "On Green Growth with Sustainable Capital," Working Papers 2019_06, Durham University Business School.
    5. Hongge Zhu & Yingli Cai & Hong Lin & Yuchen Tian, 2022. "Impacts of Cross-Sectoral Climate Policy on Forest Carbon Sinks and Their Spatial Spillover: Evidence from Chinese Provincial Panel Data," IJERPH, MDPI, vol. 19(21), pages 1-21, November.
    6. Dorman,Peter, 2022. "Alligators in the Arctic and How to Avoid Them," Cambridge Books, Cambridge University Press, number 9781316516270, October.
    7. Committee, Nobel Prize, 2018. "William D. Nordhaus and Paul M. Romer: Economic Growth, Technological Change, and Climate Change," Nobel Prize in Economics documents 2018-2, Nobel Prize Committee.
    8. V. V. Chari, 2018. "The Role of Uncertainty and Risk in Climate Change Economics," Staff Report 576, Federal Reserve Bank of Minneapolis.
    9. G. Cornelis van Kooten, 2020. "Climate Change and Agriculture," Working Papers 2020-01, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
    10. Donato Masciandaro & Riccardo Russo, 2022. "Central Banks and Climate Policy: Unpleasant Trade–Offs? A Principal–Agent Approach," BAFFI CAREFIN Working Papers 22181, BAFFI CAREFIN, Centre for Applied Research on International Markets Banking Finance and Regulation, Universita' Bocconi, Milano, Italy.
    11. Ernst, Anne & Hinterlang, Natascha & Mahle, Alexander & Stähler, Nikolai, 2022. "Carbon pricing, border adjustment and climate clubs: An assessment with EMuSe," Discussion Papers 25/2022, Deutsche Bundesbank.
    12. G. Cornelis van Kooten, 2023. "Determining optimal forest rotation ages and carbon offset credits: Accounting for post‐harvest carbon storehouses," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 71(2), pages 255-272, June.
    13. Dorsaf Azouz Ghachem & Nadia Basty & Qasim Zureigat, 2022. "Ownership Structure and Carbon Emissions of SMEs: Evidence from OECD Countries," Sustainability, MDPI, vol. 14(21), pages 1-16, November.
    14. Diana Dimitrova, 2018. "The 2018 Nobel Prize in Economics," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 98-152.
    15. Yvan Guillemette & David Turner, 2018. "The Long View: Scenarios for the World Economy to 2060," OECD Economic Policy Papers 22, OECD Publishing.
    16. Rong Li & Brent Sohngen & Xiaohui Tian, 2022. "Efficiency of forest carbon policies at intensive and extensive margins," American Journal of Agricultural Economics, John Wiley & Sons, vol. 104(4), pages 1243-1267, August.
    17. Chan, Ying Tung & Zhao, Hong, 2023. "Optimal carbon tax rates in a dynamic stochastic general equilibrium model with a supply chain," Economic Modelling, Elsevier, vol. 119(C).
    18. Rogna, Marco & Vogt, Carla J., 2021. "Accounting for inequality aversion can justify the 2° C goal," Ruhr Economic Papers 925, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    19. Coenen, Günter & Lozej, Matija & Priftis, Romanos, 2024. "Macroeconomic effects of carbon transition policies: An assessment based on the ECB’s New Area-Wide Model with a disaggregated energy sector," European Economic Review, Elsevier, vol. 167(C).
    20. Sterner, Thomas & Ewald, Jens & Sterner, Erik, 2024. "Economists and the climate," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 109(C).

    More about this item

    Keywords

    Reforestation and carbon sequestration; DICE model; Industrial versus land-use emissions;
    All these keywords.

    JEL classification:

    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • F64 - International Economics - - Economic Impacts of Globalization - - - Environment
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:forpol:v:120:y:2020:i:c:s1389934120302914. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/forpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.