Assessing the Impact of Trade Policy and Technology Changes in the U.S. Forestry Sectors
Increased trade liberalization and globalization of financial markets are influencing both the demand for and supply of forest products in the U.S. Meanwhile, more innovations are introduced into the U.S. forestry sectors to meet the growing demands for forest products. Since the U.S. is the largest producer and consumer of forest products in the world, these changes are expected to have significant implications for forestry sectors across the world. This study aims at (1) estimating the impacts of forest products trade liberalization on the U.S. forestry sectors; (2) examining the effect of technological progress in the U.S. forestry production relative to the rest of the world. A multi-regional multi-sectoral applied global general equilibrium model is employed to achieve the goal. Results of the study have implications for better production and marketing decisions as well as policy prescriptions related to sustainable forest management in the U.S.