Chapter 6 Global Forest Products Trade Model
© CAB International 2021. - For personal use of authors. 6 Global Forest Products Trade Model PRAKASH NEPAL1 , JosEPH BuoNGIORNo2 , CRAIG M.T. JOHNSTON3 , JEFFREY PRESTEMON4 AND JINGGANG Guo5 1 USDA Forest Products Laboratory, Madison, Wisconsin, USA; 2Universityof Wisconsin-Madison, Madison, Wisconsin, USA; 3Bank of Canada, Ottawa, ON Canada; 4USDA Forest Service, Southern Research Station, Research Triangle Park, North Carolina, USA; 6RTI International, Research Triangle Park, NC, USA Abstract This chapter introduces the Global Forest Products Model (GFPM). The general model structure and the mathematical formulation of the GFPM are provided and key differences and similarities to the modeling approaches developed in the previous chapters are high lighted. The usefulness of the GFPM as a forestsector toolfor policyanalysis is illustrated by summarizing its applications in a wide array of past and ongoing studies. Thesestudies are summarized under four representative groups: (i) forest sector outlook studies; (ii) studies evaluating the consequences of tariff and non-tariff barriers on the international trade of forestproducts; (iii) studies projecting theimpacts of climate change and forest-based climate change mitigation strategies on forestsand forestindustries; and (iv) other studiesdealing with other important questions, such as the effects of the rise in global planted forest area, illegal harvests, and invasive species. Some of the limitations of GFPM, ways to mitigate these limi tations, and its overall usefulness as a forest sector policy analysis tool are also examined. The Global Forest Products Model (GFPM) offers an alternative approach to the spatial price equilibrium (SPE) trade models described in the previous chap ters and the models reviewed by Latta et al.
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