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Economics Unit

Impacts of Imperfect Competition for Forest Products in the U.S.

Investigators:

David N. Wear, Southern Research Station
Brian C. Murray, Research Triangle Institute (formerly with the Southern Research Station)

Description:

This study examines the implications of limited competition for timber on both wood producers and consumers. An empirical test indicates that market power does exist in these markets and that market power has risen in recent years. While welfare losses are a small portion of total forest product value, misallocation of resources could result.

Problem Area(s): Market-level models
Status: Complete

Products:

Murray, Brian C. 1995. Oligopsony, vertical integration, and output substitution: welfare effects in U.S. pulpwood markets. Land Economics. 71 (2): 193-206.

Murray, Brian C. 1995. Measuring oligopsony power with shadow prices: U.S. markets for pulpwood and sawlogs. The Review of Economics and Statistics. [77] (3): 486-498.

modified: 13-MAR-2000
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