@article{Schneider:10242,
      recid = {10242},
      author = {Schneider, Uwe A. and McCarl, Bruce A.},
      title = {Implications of a Carbon-Based Energy Tax for U.S.  Agriculture},
      journal = {Agricultural and Resource Economics Review},
      address = {2005-10},
      number = {1203-2016-95275},
      pages = {15},
      year = {2005},
      abstract = {Policies to mitigate greenhouse gas emissions are likely  to increase energy prices. Higher energy prices raise  farmer costs for diesel and other fuels, irrigation water,  farm chemicals, and grain drying. Simultaneously, renewable  energy options become more attractive to agricultural  producers. We consider both of these impacts, estimating  the economic and environmental consequences of higher  energy prices on U.S. agriculture. To do this we employ a  price-endogenous agricultural sector model and solve that  model for a range of carbon-tax-based energy price changes.  Our results show mostly positive impacts on net farm income  in the intermediate run. Through market price adjustments,  fossil fuel costs are largely passed on to consumers.  Additional farm revenue arises from the production of  biofuels when carbon taxes reach $30 per ton of carbon or  more. Positive environmental benefits include not only  greenhouse gas emission offsets but also reduced levels of  nitrogen leaching.},
      url = {http://ageconsearch.umn.edu/record/10242},
      doi = {https://doi.org/10.22004/ag.econ.10242},
}