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Substitution of Public for Private Funding in Planting Southern Pine

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Abstract:

Although public tree planting programs are designed to correct market failures, their only result may be a transfer of income if cost-shared planting is being substituted for private investment in tree planting. Previous research and anecdotal evidence suggests: (1) that nonindustrial owners use public cost-sharing funds even when they would have planted anyway, and (2) that forest industry and/or nonindustrial owners plant fewer acres because of large nonindustrial cost-sharing programs. We addressed these questions using an economic model and did not find conclusive evidence of substitution. Without substitution, increased inventories and hence increased timber supplies should result from the public tree planting programs. South. J. Appl. For. 16(4):204-208

Document Type: Journal Article

Affiliations: USDA Forest Service, Pacific Northwest Forest and Range Experiment Station, Corvallis, Oregon 92708

Publication date: November 1, 1992

More about this publication?
  • Each regional journal of applied forestry focuses on research, practice, and techniques targeted to foresters and allied professionals in specific regions of the United States and Canada. The Southern Journal of Applied Forestry covers an area from Virginia and Kentucky south to as far west as Oklahoma and east Texas.
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