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Forest Product Trade Impacts of an Invasive Species: Modeling Structure and Intervention Trade-Offs

Author

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  • Prestemon, Jeffrey P.
  • Zhu, Shushuai
  • Turner, James A.
  • Buongiorno, Joseph
  • Li, Ruhong

Abstract

Asian gypsy and nun moth introductions into the United States, possibly arriving on imported Siberian coniferous logs, threaten domestic forests and product markets and could have global market consequences. We simulate, using the Global Forest Products Model (a spatial equilibrium model of the world forest sector), the consequences under current policies of a widespread, successful pest invasion, and of plausible trading partner responses to the successful invasion. We find that trade liberalization would have a negligible effect on U.S. imports of Siberian logs and, consequently, on the risk of a pest invasion. But, if it happened, possibly through trade in other commodities, a successful and widespread pest invasion would have large effects on producers and consumers over the period 2002 to 2030.

Suggested Citation

  • Prestemon, Jeffrey P. & Zhu, Shushuai & Turner, James A. & Buongiorno, Joseph & Li, Ruhong, 2006. "Forest Product Trade Impacts of an Invasive Species: Modeling Structure and Intervention Trade-Offs," Agricultural and Resource Economics Review, Cambridge University Press, vol. 35(1), pages 128-143, April.
    • Handle: RePEc:cup:agrerw:v:35:y:2006:i:01:p:128-143_01
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    Cited by:

    1. An-Sing Chen & Hui-Jyuan Gao & Mark Leung, 2008. "Is Trading Imbalance a Better Explanatory Factor in the Volatility Process? Intraday and Daily Evidence from E-mini S&P 500 Index Futures and Information-Based Hypotheses," Working Papers 0039, College of Business, University of Texas at San Antonio.
    2. Strutt, Anna & Turner, James A. & Haack, Robert A. & Olson, Lars, 2013. "Evaluating the impacts of an international phytosanitary standard for wood packaging material: Global and United States trade implications," Forest Policy and Economics, Elsevier, vol. 27(C), pages 54-64.
    3. Lichtenberg, Erik & Olson, Lars J., 2020. "Tariffs and the risk of invasive pest introductions in commodity imports: Theory and empirical evidence," Journal of Environmental Economics and Management, Elsevier, vol. 101(C).
    4. Batabyal, Amitrajeet A. & Beladi, Hamid, 2009. "Trade, the damage from alien species, and the effects of protectionism under alternate market structures," Journal of Economic Behavior & Organization, Elsevier, vol. 70(1-2), pages 389-401, May.

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