Green plants absorb light energy using chlorophyll in their leaves. They use it to react carbon dioxide with water to make a sugar called glucose. The glucose is used in respiration, or converted into starch and stored. Oxygen is produced as a by-product.
The equation for photosynthesis:
Carbon Dioxide + Water (+ Light Energy) → Glucose + Oxygen
Symbol equation:
6CO2 + 6H2O ------> C6H12O6 + 6O2
(http://www.bbc.co.uk/schools/gcsebitesize/science/add_aqa_pre_2011/plants/plants1.shtml)
The effect of the concentration of carbon dioxide on the rate of photosynthesis:
Sometimes photosynthesis is limited by the concentration of carbon dioxide in the air. Even if there is plenty of light, a plant cannot photosynthesise if there is insufficient amount carbon dioxide. (http://www.bbc.co.uk/schools/gcsebitesize/science/add_edexcel/organism_energy/photosynthesisrev2.shtml)
Carbon dioxide is used to make sugar in the photosynthesis reaction. The concentration of carbon dioxide in the Earth’s atmosphere varies between 0.03% and 0.04%. An increase in the concentration of carbon dioxide gives an increase in the rate of photosynthesis. It is difficult to do this out in the open air but is possible in a greenhouse.
Many crops such as tomatoes and lettuce give higher yield when grown in greenhouses. Farmers add additional carbon dioxide into the greenhouse to increase the concentration and so the rate of photosynthesis of the crops. The additional cost of the carbon dioxide is worth it because of the increased yield, which means that there will be more product made. (http://www.passmyexams.co.uk/GCSE/biology/factors-affecting-rate-of-photosynthesis.html)
Some companies may use this idea for environmental use. Instead of pumping the wasted carbon dioxide into the atmosphere as a pollutant they redirect it into big greenhouses where plants such as tomatoes could use that for photosynthesis.