Carbon Prices, Forest Conservation and Reforestation in the Brazilian Amazon
Year: 2026
Type: article
Abstract: Deforestation for cattle ranching in the Brazilian Amazon emits carbon, and reforestation absorbs carbon. The social productivities for these alternative activities vary across locations. We analyze a spatial/dynamic model of efficient land allocation to establish a benchmark for policies. We treat cattle prices as stochastic and location-specific productivities as uncertain when assessing the consequences of imposing alternative prices of carbon emissions. Modest carbon price increases would incentivize Brazil to choose policies that capture a significant amount of greenhouse gases in the next 30 years. Our analysis pinpoints tropical forest management as an important contributor to climate change mitigation.
Source: Journal of Political Economy
DOI: 10.1086/744117
Language: English
Subfield: Global and Planetary Change
Field: Environmental Science
Domain: Physical Sciences
SDGs: Climate action, Life on land
Open Access status: green
OpenAlex ID: W7213537429
