Title: The steady-state treatment of forestry in CGE models


Author: Luz Centeno Stenberg, Mahinda Siriwardana


Faculty of Business and Law, Central Queensland University, Sydney International Campus, 333 Kent St. Sydney NSW 2000, Australia.
School of Economics University of New England, Armidale, NSW 2351, Australia


Journal: Int. J. of Agricultural Resources, Governance and Ecology, 2006 Vol.5, No.1, pp.1 - 17


Abstract: This paper provides a critical examination of the implicit assumption in steady-state forestry modelling, particularly those employed in CGE models. That is, forests are characterised by steady-state conditions. Therefore, a conceptual model is developed to examine if there is a tendency for forest areas to reach some sort of steady-state. The results from the model simulations show that steady-state does not characterise forest areas. Steady-state is reached after a long period of time, say, 200 years or when a sustainable harvesting regime and regeneration activities are constantly applied and formulated to maintain a set timber volume target.


Keywords: CGE modelling; computable general equilibrium models; selective logging; steady-state; sustainable forestry; simulation; sustainable harvesting; regeneration.


DOI: 10.1504/IJARGE.2006.008162




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