Market Dynamics and Optimal Timber Salvage After a Natural Catastrophe

@inproceedings{Prestemon2004MarketDA,
  title={Market Dynamics and Optimal Timber Salvage After a Natural Catastrophe},
  author={Jeffrey P. Prestemon and Thomas P. Holmes},
  year={2004}
}
Forest-based natural catastrophes are regular features of timber production in the United States, especially from hurricanes, fires, and insect and disease outbreaks. These catastrophes affect timber prices and result in economic transfers. We develop a model of timber market dynamics after such a catastrophe that shows how timber salvage affects the welfare of different market groups and quantifies the impacts of salvage on product markets. A theoretical framework is developed that explores… CONTINUE READING