Damned if you do, damned if you do not: reduced climate impact vs. sustainable forests in Sweden
2011 (English)In: Resources and Energy Economics, ISSN 0928-7655, Vol. 33, no 1, 94-106 p.Article in journal (Refereed) Published
The main objective of this paper is to analyze the potential goal conflict between two of Sweden's environmental objectives: Sustainable Forests and Reduced Climate Impact – or, more precisely, the conflict between forest conservation and the supply of wood fuel. To accomplish this, we use a forest sector model that includes the suppliers and major users of roundwood. The econometric results, based on a data set that spans 40 years, show that all the own price elasticities have the expected signs. Among the three forestry products, the supply and (long-term) demand of forest fuel seems to be most sensitive to a price change. In a second step, the estimated model is used to simulate the effect of increased forest conservation – the Sustainable Forest objective – on the supply of wood fuel. If oil is used as a substitute, Swedish emissions of greenhouse gases will increase by almost 0.92 percent, which indicates a clear conflict with the Reduced Climate Impact objective.
Place, publisher, year, edition, pages
Elsevier, 2011. Vol. 33, no 1, 94-106 p.
goal conflict, wood fuels, forest sector model, roundwood markets, forest conservation
Economics Environmental Sciences
Research subject Economics
IdentifiersURN: urn:nbn:se:umu:diva-31436DOI: 10.1016/j.reseneeco.2010.01.004ISI: 000286999100006OAI: oai:DiVA.org:umu-31436DiVA: diva2:293044
Available online 1 February 20102010-02-102010-02-102015-06-22Bibliographically approved