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National Impacts of Softwood Product Price Increases

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Under prices projected for the period 1990-2030. U.S. consumption of softwood lumber would average 9 billion board feet per year less than if prices were stabilized at 1977 levels (in constant dollars). Softwood plywood consumption would average 5.5 billion square feet less per year and annual U.S. softwood sawlog consumption some 2 billion cubic feet less. Annual employment in softwood lumber and plywood manufacturing would be lower by 70 thousand man-years (33 percent) and payrolls by $400 million per year on the average. Losses to consumers due to rising prices would average $5 billion (constant 1967 dollars) per year over the 1990-2030 period, and the loss in residential construction activity is estimated to be 86 thousand units (4 percent) per year. If relative prices rise, displacement of wood products by nonrenewable substitutes such as concrete and steel will increase energy needs and create more pollution in the course of their manufacture.

Document Type: Journal Article

Affiliations: Principal Economist, Pacific Northwest Forest and Range Experiment Station, Portland, Oregon

Publication date: December 1, 1981

More about this publication?
  • The Journal of Forestry is the most widely circulated scholarly forestry journal in the world. In print since 1902, the Journal has received several national awards for excellence. The mission of the Journal of Forestry is to advance the profession of forestry by keeping forest management professionals informed about significant developments and ideas in the many facets of forestry: economics, education and communication, entomology and pathology, fire, forest ecology, geospatial technologies, history, international forestry, measurements, policy, recreation, silviculture, social sciences, soils and hydrology, urban and community forestry, utilization and engineering, and wildlife management. The Journal is published bimonthly: January, March, May, July, September, and November.
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