An economic assessment of western Oregon's private forests with streamside management restrictions Public Deposited

http://ir.library.oregonstate.edu/concern/graduate_thesis_or_dissertations/br86b6730

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  • Management restrictions are simulated on streamside acres owned by private interests in western Oregon to assess forest inventory and log market implications. A dynamic, nonlinear optimization model of western Oregon's softwood log market simulates the resource and economic impacts of set-aside and minimum harvest age restrictions on forest acreage within 40 meters of water on private lands from 1995 to 2045. Without restrictions, about 49 percent of log market surplus is attained by producers, while the consumers' (mills) portion is 17 percent and the trade sector earns the remaining 34 percent. Streamside management constraints take up to 19 percent of the forestland out of production. When this acreage is set-aside from harvest, periodic softwood harvest levels drop by 15 to 26 percent and log prices rise by 7 to 10 percent. The average value of a bare forest acre further than 40 meters from water rises by 13 percent. The increase in log prices and land values does not offset the loss in management choices. The present value of producers' surplus drops by 11 percent, while consumers' surplus drops by 30 percent.
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