Skip to page content
USDA Forest Service
  
Treesearch

Research & Development Treesearch

 
Treesearch Home
About Treesearch
Contact Us
Research & Development
Forest Products Lab
International Institute of Tropical Forestry
Northern
Pacific Northwest
Pacific Southwest
Rocky Mountain
Southern Research Station
Help
 

Science.gov - We Participate


USA.gov  Government Made Easy


Global Forest Information Service

US Forest Service
P.O. Box 96090
Washington, D.C.
20090-6090

(202) 205-8333

You are here: Home / Search / Publication Information
Bookmark and Share

Publication Information

View PDF (215 KB bytes)

Title: If the U.S. had Canada's stumpage system

Author: Spelter, Henry;

Date: 2006

Source: U.S.-Canada forest products trade : a bilateral technical symposium. [East Lansing, MI] : Michigan Agricultural Experiment Station, 2006. Special report (Michigan State University. Agricultural Experiment Station) ; 125. Research report from the Michigan State University Agricultural Experiment Station, East Lansing: Pages 213-219.

Publication Series: Miscellaneous Publication

Description: North American log markets function on different principles -- a profit allowance for the wood processor plays a role in timber pricing in Canada, while in the United States, it is a byproduct of the give and take of arm’s-length market negotiations. The former is characterized by high elasticities of price transmission and, at times of market weakness, by low elasticities of product supply; the other, by the opposite of these benchmarks. This can result in asymmetric supply responses in weak markets to the detriment of U.S. producers. Whether this is a subsidy in the sense of conferring a direct financial contribution by the government or merely a different pricing mechanism is beclouded by the dearth of market-based transactions. The challenge in the lumber dispute, then, is to devise a system of pricing in Canada that is more transparent regarding the underlying valuation of timber.

Keywords: Timber pricing, subsidy, elasticity of price transmission, forest products industry, economic aspects, Canada, statistics, lumber trade, timber, valuation, prices, softwoods

Publication Notes:

  • We recommend that you also print this page and attach it to the printout of the article, to retain the full citation information.
  • This article was written and prepared by U.S. Government employees on official time, and is therefore in the public domain.

XML: View XML

Citation:


Spelter, Henry 2006. If the U.S. had Canada''s stumpage system. U.S.-Canada forest products trade : a bilateral technical symposium. [East Lansing, MI] : Michigan Agricultural Experiment Station, 2006. Special report (Michigan State University. Agricultural Experiment Station) ; 125. Research report from the Michigan State University Agricultural Experiment Station, East Lansing: Pages 213-219.

 


 [ Get Acrobat ]  Get the latest version of the Adobe Acrobat reader or Acrobat Reader for Windows with Search and Accessibility

USDA logo which links to the department's national site. Forest Service logo which links to the agency's national site.