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Estimating the Regional Demand for Softwood Lumber in the United States

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  • Noel D. Uri
  • Roy Boyd

Abstract

This study examines whether the regional demand for softwood lumber in the United States is dependent on market factors including the price of softwood lumber, the price of other building materials and economic activity, as measured by housing starts. The empirical results suggest that the quantity of softwood lumber demanded does vary in response to fluctuations in the softwood lumber price in three of the four regions considered and it does change with movements in the other explanatory factors (e.g., the price of other building materials and housing starts) in all regions. Finally, in an effort to explain the insignificance of the softwood lumber price in explaining changes in softwood lumber demanded in the West region, regression diagnostics are used. The analysis, however, sheds little light on the result.

Suggested Citation

  • Noel D. Uri & Roy Boyd, 1990. "Estimating the Regional Demand for Softwood Lumber in the United States," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 12(1), pages 137-147.
    • Handle: RePEc:oup:revage:v:12:y:1990:i:1:p:137-147.
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    File URL: http://hdl.handle.net/10.1093/aepp/12.1.137
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    Cited by:

    1. Baek, Jungho, 2011. "Dynamics of the U.S.-Canada Softwood Lumber Trade: Market and Welfare Effects of the 2006 Softwood Lumber Agreement," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 12(2), pages 1-13, November.
    2. Ronald A. Babula & Daowei Zhang, 2019. "Assessing the role of futures position substitutability in a monthly model of factor demand for softwood lumber," Empirical Economics, Springer, vol. 56(3), pages 1097-1116, March.

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