Alabama Forest Products and the Potential Impacts of FTAA Price Changes

Henry Thompson and Mostafa Malki
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Mostafa Malki: University of Texas - Brownsville, Postal: University of Texas - Brownsville

Journal of Economic Integration, 2010, vol. 25, 130-143

Abstract:

The Free Trade Area of the Americas FTAA will increase import competition for some forest product industries in Alabama but create export opportunities for others. Forest products loom large in the Alabama economy, both in terms of income and pollution. The present paper gauges the potential impacts of a range of price changes for forest products in an applied specific factors model of production. Pollution adjusts with forest product outputs. The potential impacts on outputs, capital returns, and pollution are substantial. Anticipated price changes also raise the wage and lower energy demand.

Keywords: FTAA; Trade; Pollution; Forest products (search for similar items in EconPapers)
JEL-codes: F11 F13 F14 F15 (search for similar items in EconPapers)
Date: 2010
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Persistent link: https://EconPapers.repec.org/RePEc:ris:integr:0499

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