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Alabama Forest Products and the Potential Impacts of FTAA Price Changes

Author

Listed:
  • Thompson, Henry

    (Auburn University)

  • Malki, Mostafa

    (University of Texas - Brownsville)

Abstract

The Free Trade Area of the Americas FTAA will increase import competition for some forest product industries in Alabama but create export opportunities for others. Forest products loom large in the Alabama economy, both in terms of income and pollution. The present paper gauges the potential impacts of a range of price changes for forest products in an applied specific factors model of production. Pollution adjusts with forest product outputs. The potential impacts on outputs, capital returns, and pollution are substantial. Anticipated price changes also raise the wage and lower energy demand.

Suggested Citation

  • Thompson, Henry & Malki, Mostafa, 2010. "Alabama Forest Products and the Potential Impacts of FTAA Price Changes," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 25, pages 130-143.
    • Handle: RePEc:ris:integr:0499
    as

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    More about this item

    Keywords

    FTAA; Trade; Pollution; Forest products;
    All these keywords.

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration

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