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GTAP Resources: Resource Display

GTAP Resource #7484

"Modeling agricultural emission reduction policy in Denmark under alternative abatement technology catalogues in a global CGE model"
by Jensbye, Laerke, Francesco Clora and Wusheng Yu


Abstract
Denmark is set to become the first country globally to subject its agricultural sector to carbon pricing measures (Danish Government et al., 2024). This initiative is significant due to the sector's strategic importance in ensuring food security and its traditionally high lobbying power. Consequently, several intricacies have emerged in implementing the targeted reductions, such as redirecting tax revenue back to the sector and establishing large funds to promote the innovation and scalability of new abatement technologies.

Computable General Equilibrium (CGE) models are frequently used to assess the impacts of agricultural carbon prices but often do not consider the development and adoption of new abatement technologies and their availability to producers. This leads to conservative assumptions about abatement potentials of existing technologies, as for example reflected in the widely used data set compiled by the US EPA (US-EPA, 2019). In Denmark, extensive research work on technological solutions has provided a more detailed account of the potential of newer, not yet fully tested technologies and the likelihood of these technologies’ success (Henriksen et al., 2023; Klimarådet, 2023). These new data about new technologies implies higher technological abatement potentials as compared to the EPA dataset. Therefore, incorporating these new data into model-based analysis of national climate policy in Denmark can generate new policy insights.


Resource Details (Export Citation) GTAP Keywords
Category: 2025 Conference Paper
Status: Not published
By/In: Presented during the 28th Annual Conference on Global Economic Analysis (Kigali, Rwanda)
Date:
Version:
Created: Jensbye, L. (4/14/2025)
Updated: Jensbye, L. (4/14/2025)
Visits: 52
- Climate change policy
- Technological change
- Dynamic modeling
- Europe (Northern)


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