Kiel Working Papers, Kiel Institute for World Economics
No 1472:
Integrating Biofuels into the DART Model
Bettina Kretschmer, Sonja Peterson and Adriana Ignaciuk
Abstract: Biofuels and other forms of bioenergy have received
increased attention in recent times: They have partly been acclaimed as an
instrument to contribute to rural development, energy security and to fight
global warming but have been increasingly come under attack for their
potential to contribute to rising food prices. It has thus become clear
that bioenergy cannot be evaluated independently of the rest of the economy
and that national and international feedback effects are important. In this
paper we describe how the CGE model DART is extended to include
first-generation biofuel production technologies. DART can now be used to
assess the efficiency of combined climate and bioenergy policies. As a
first example the effects of a 10% biofuel target in the EU are analyzed
Keywords: biofuels, CGE model, climate policy; (follow links to similar papers)
JEL-Codes: D58,; Q48,; Q54; (follow links to similar papers)
31 pages, December 2008
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