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Effect of Carbon Taxes and Subsidies on Optimal Forest Rotation Age and Supply of Carbon Services
Open accessAbstract
Carbon taxes and subsidies will affect the optimal forest rotation and, consequently, the carbon stored in forests. Unlike the Hartman rotation, where externality benefits are a function of the volume of timber growing on a site at any time, carbon benefits are a function of the change in biomass. Theoretical and empirical results (for coastal British Columbia and northern Alberta) indicate that, under some tax regimes, it may be socially optimal never to harvest the trees. In general, inclusion of the external benefits from carbon uptake results in rotation ages only a bit longer than the financial (Faustmann) rotation age.
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Citations
Cited by
The Costs of Carbon Sequestration: A Revealed-Preference Approach
Stavins, R. N. (1999) · American Economic Review · doi:10.1257/aer.89.4.994 · Cited by 443
An Optimal Control Model of Forest Carbon Sequestration
Sohngen, B., & Mendelsohn, R. (2003) · American Journal of Agricultural Economics · doi:10.1111/1467-8276.00133 · Cited by 414
Which rotation length is favourable to carbon sequestration?
Liski, J., Pussinen, A., Pingoud, K., Mäkipää, R., & Karjalainen, T. (2001) · Canadian Journal of Forest Research · doi:10.1139/cjfr-31-11-2004 · Cited by 301
Policy design for forest carbon sequestration: A review of the literature
Gren, I.-M., & Aklilu, A. Z. (2016) · Forest Policy and Economics · doi:10.1016/j.forpol.2016.06.008 · Cited by 179
Trade-offs between forest carbon stocks and harvests in a steady state – A multi-criteria analysis
Pingoud, K., Ekholm, T., Sievänen, R., Huuskonen, S., & Hynynen, J. (2018) · Journal of Environmental Management · doi:10.1016/j.jenvman.2017.12.076 · Cited by 67
Metadata
- Authors
- van Kooten, G. C., Binkley, C. S., & Delcourt, G.
- Venue
- American Journal of Agricultural Economics
- Publisher
- Wiley
- Published
- 1995-05
- Volume
- 77
- Issue
- 2
- Pages
- 365-374
- ISSN
- 0002-9092 (ISSN-L)
- 1467-8276
- OpenAlex
- W2123297034
- Cited by
- 487
- References
- 0
- FWCI
- 5.29
- Type
- journal article
- Language
- en
- Open access
- green
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- CoChat. (2026). Citation check: Effect of Carbon Taxes and Subsidies on Optimal Forest Rotation Age and Supply of Carbon Services. https://app.cochat.ai/papers/10.2307/1243546
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- van Kooten, G. C., Binkley, C. S., & Delcourt, G. (1995). Effect of Carbon Taxes and Subsidies on Optimal Forest Rotation Age and Supply of Carbon Services. American Journal of Agricultural Economics. https://doi.org/10.2307/1243546
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Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
