Space-Time Modeling of Timber Prices
By: Zhou, Mo; Buongiorno, Joseph
Zhou, Mo; Buongiorno, Joseph, Space-Time Modeling of Timber Prices, Journal of Agricultural and Resource Economics, Volume 31, Issue 1, April 2006, Pages 40-56
A space-time econometric model was developed for pine sawtimber timber prices of 21 geographically contiguous regions in the southern United States. The correlations between prices in neighboring regions helped predict future prices. The impulse response analysis showed that although southern pine sawtimber markets were not globally integrated, local supply and demand shocks did transmit partially to immediate neighboring regions, and could also have weaker effects in more distant regions.