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Econometric analysis of social interactions in the production decisions of private forest owners

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  • Serge Garcia
  • Éric Nazindigouba Kéré
  • Anne Stenger

Abstract

This article analyses private forest owners' timber supply, taking individual and regional determinants into account, and investigates whether the drivers of forest owners' behaviour differ within and between these different levels, due to peer effects. From a unique database of French private forest owners from a survey carried out in 1999, harvest decision and harvesting intensity are simultaneously estimated by a multilevel selection model. It allows us to identify social interactions: endogenous, contextual and correlated effects. Results show that forest owners with the same characteristics may behave differently, depending on the dynamism of the timber sector and the forest environment.

Suggested Citation

  • Serge Garcia & Éric Nazindigouba Kéré & Anne Stenger, 2014. "Econometric analysis of social interactions in the production decisions of private forest owners," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 41(2), pages 177-198.
  • Handle: RePEc:oup:erevae:v:41:y:2014:i:2:p:177-198.
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    File URL: http://hdl.handle.net/10.1093/erae/jbt027
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    References listed on IDEAS

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    1. James J. Heckman, 1976. "The Common Structure of Statistical Models of Truncation, Sample Selection and Limited Dependent Variables and a Simple Estimator for Such Models," NBER Chapters, in: Annals of Economic and Social Measurement, Volume 5, number 4, pages 475-492, National Bureau of Economic Research, Inc.
    2. Amemiya, Takeshi, 1984. "Tobit models: A survey," Journal of Econometrics, Elsevier, vol. 24(1-2), pages 3-61.
    3. Max, Wendy & Lehman, Dale E., 1988. "A behavioral model of timber supply," Journal of Environmental Economics and Management, Elsevier, vol. 15(1), pages 71-86, March.
    4. Conway, M.Christine & Amacher, Gregory S. & Sullivan, Jay & Wear, David, 2003. "Decisions nonindustrial forest landowners make: an empirical examination," Journal of Forest Economics, Elsevier, vol. 9(3), pages 181-203.
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    Citations

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    Cited by:

    1. Eric Nazindigouba KERE & Jérôme FONCEL & Marielle BRUNETTE, 2014. "Attitude towards Risk and Production Decision: An Empirical analysis on French private forest owners," Working Papers 201410, CERDI.
    2. Marielle Brunette & Jérôme Foncel & Nazindigouba Eric Kéré, 2014. "Attitude towards Risk and Production Decision: An Empirical analysis on French private forest owners," Working Papers halshs-00981350, HAL.
    3. David W. Shanafelt & Brian Danle & Jesse Caputo & Marielle Brunette, 2024. "More forest more problems? Understanding family forest owners’ concerns in the United States," Working Papers of BETA 2024-32, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
    4. Rivaldo A. B. Kpadonou & Bruno Barbier & Tom Owiyo & Fatima Denton & Franck Rutabingwa, 2019. "Manure and adoption of modern seeds in cereal‐based systems in West African drylands: linkages and (non)complementarities," Natural Resources Forum, Blackwell Publishing, vol. 43(1), pages 41-55, February.
    5. Sauter, Philipp A. & Mußhoff, Oliver & Möhring, Bernhard & Wilhelm, Stefan, 2016. "Faustmann vs. real options theory – An experimental investigation of foresters’ harvesting decisions," Journal of Forest Economics, Elsevier, vol. 24(C), pages 1-20.
    6. Sonnhoff, Matthias & Selter, Andy, 2021. "Symbolic interaction and its influence on cooperation between private forest owners," Forest Policy and Economics, Elsevier, vol. 130(C).
    7. Yazeed Abdul Mumin & Awudu Abdulai, 2022. "Social networks, adoption of improved variety and household welfare: evidence from Ghana," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 49(1), pages 1-32.
    8. Thomas, J. & Brunette, M. & Leblois, A., 2022. "The determinants of adapting forest management practices to climate change: Lessons from a survey of French private forest owners," Forest Policy and Economics, Elsevier, vol. 135(C).
    9. Petucco, Claudio & Abildtrup, Jens & Stenger, Anne, 2015. "Influences of nonindustrial private forest landowners’ management priorities on the timber harvest decision—A case study in France," Journal of Forest Economics, Elsevier, vol. 21(3), pages 152-166.

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    More about this item

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry

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