What Economics Does — or Doesn’t — Tell Us About the Climate Consequences of Using Wood

By Tim Searchinger and Steve Berry
World Resources Institute
June 26, 2024
Category: Wood, Paper & Green Building
Region: United States

To reduce global carbon emissions, should people harvest and use more wood or less? This question underlies the merits burning more wood pellets and constructing more tall wood buildings. …developers of the Global Timber Model (GTM) claim that the effect of forestry on carbon is an economic question that requires analysis using an economic model rather than a biophysical one. …Here, we take a closer look at both economic and biophysical models and what each does or doesn’t tell us about the climate consequences of using wood. …Overall, we are aware of no credible evidence that wood demand has led to more forest area globally. The basic reason is that the economic returns from forestry are nearly always much lower than those from agriculture. …the world faces a doubling in demand for commercial wood harvests by 2050. Policies to meet this demand should start with the recognition that using wood is not carbon-free.

Additional coverage in The Hill, by Saul Elbein: Burning trees for energy really does heat the climate, scientists argue

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