aDepartment of Resource Economics, University of Nevada, Reno, NV 89557, USA
bDepartment of Statistics, Oregon State University, Corvallis, OR 97331, USA
cDepartment of Forest Resources, Oregon State University, Corvallis, OR 97331, USA
Abstract:
Although many different forest certification standards exist, harvest adjacency and green-up regulations are common to most certifying bodies. This study develops a means for evaluating trade-offs associated with implementation of nth-order adjacency and green-up constraints on a 1.7 million ha landscape in Oregon in the US. Depending on the type of adjacency structure and delay between harvests, the opportunity cost of the restrictions, estimated by the change in discounted sum of producer and consumer surplus in the regional log market, ranged from 0.25% to 66% (or US $60 million to $15.3 billion) of the unconstrained value. Increasing green-up delays beyond 30–40 years had little effect on estimated opportunity cost of the modeled restrictions.