Impact of wildfire on local economies
Investigators:
Disturbance Economics Research Team, Southern Research Station
Research and Development Question Addressed:
Local economic impacts from catastrophic wildfires include disruptions to both consumption and production of local goods and services. Immediate effects may include decreased recreation/tourism and timber harvest in the fire region, as well as disruptions from evacuations and transportation delays. Increased use of local goods and services for fire protection also impacts local economies. Other effects include direct property losses (in the form of buildings, timber, livestock, and other capital), damage to human health, and possible changes in the long-term structure of the local economy. A thorough accounting of such costs requires the development of an accounting framework and a data collection process that permits accurate assessment of economic impacts. Building upon our experience in evaluating through established economic modeling and comprehensive data analysis in the case of Florida after its catastrophic wildfire season of 1998, we propose to evaluate the economic effects of the catastrophic wildfires in the western U.S.
Outcomes:
We will estimate market effects from timber damage and salvage, recreation/tourism changes, market disruptions, and health impacts for areas affected by recent wildfires. We will then use these market changes to calculate the impacts on gross regional product. Using available data on wildfire impacts to natural resources, we will then estimate the relationship between wildfire characteristics, local community characteristics and gross regional product. This research will provide summaries of the market effects of wildfire on local communities and the relationship of wildfire to factors both within and beyond the control of local or national policies. Insights into the character of economic impacts should also provide guidance for structuring federal assistance in the aftermath of catastrophic fire events occurring in other regions and in other years in the West and other parts of the U.S.
First year. Develop estimates of the direct local economic impacts of the 2000 wildfires for both the regions and for specific communities.
Second year: Enhance estimates developed during the first year to include timber market impacts, health impacts, benefits and costs of restoration and rehabilitation, and changes in economic structure.
Three to five years: Develop methods for estimating relationships between the local economy and wildfire, including trade-offs between damage from fires, suppression and presuppression efforts, and restoration costs and benefits.
Problem Area(s): Forest Policy
Status:
Ongoing
Products:
Community Responses to Wildland Fire Threats in New Mexico
modified:
2-JUN-2003
created by:
Jeff Prestemon
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USDA Forest Service
Southern Research Station
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