Journal of Forest Economics > Vol 10 > Issue 4

Economic impacts of adjacency and green-up constraints on timber production at a landscape scale

Darek J. Nalle, nalle@cabnr.unr.edu , Jeffrey L. Arthur, arthur@science.oregonstate.edu , Claire A. Montgomery, claire.montgomery@orst.edu
 
Suggested Citation
Darek J. Nalle, Jeffrey L. Arthur and Claire A. Montgomery (2005), "Economic impacts of adjacency and green-up constraints on timber production at a landscape scale", Journal of Forest Economics: Vol. 10: No. 4, pp 189-205. http://dx.doi.org/10.1016/j.jfe.2004.11.003

Publication Date: 25 Feb 2005
© 0 2005 Darek J. Nalle, Jeffrey L. Arthur, Claire A. Montgomery
 
Subjects
 
Keywords
JEL Codes:Q230
ForestrySustainabilityPolicyOptimizationSpatial modelsForecasting and simulation
 

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In this article:
Introduction 
Study area 
Economic model of timber production 
Optimization model and solution method 
Results 
Discussion and conclusions 

Abstract

Although many different forest certification standards exist, harvest adjacency and green-up regulations are common to most certifying bodies. This study develops a means for evaluating trade-offs associated with implementation of nth-order adjacency and green-up constraints on a 1.7millionha landscape in Oregon in the US. Depending on the type of adjacency structure and delay between harvests, the opportunity cost of the restrictions, estimated by the change in discounted sum of producer and consumer surplus in the regional log market, ranged from 0.25% to 66% (or US $60million to $15.3billion) of the unconstrained value. Increasing green-up delays beyond 30–40 years had little effect on estimated opportunity cost of the modeled restrictions.

DOI:10.1016/j.jfe.2004.11.003