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Title: Price elasticities for softwood plywood and structural particleboard in the United States

Source: Can. J. For. Res. 14: 1984; pp. 528-535.

Author(s)Spelter, Henry

Publication Year: 1984  View PDF »

Category: Journal Articles

Abstract: A multiequation model analyzing the price elasticities for construction panels (softwood plywood and structural particleboard) was developed. The response of softwood plywood demand to price was found to have declined substantially over the 30-year span of analysis, dropping from an estimated 0.83 in 1950 to 0.10 in 1981. This decline indicates the maturing of softwood plywood markets and the limitedgrowth opportunities for the product. The price elasticityofstructural particleboard, by contrast, was estimated at substantially higher levels in the late 1970's. These particleboards compete for some ofthe same markets as softwood plywood and are priced at substantial discounts in most markets. The model results indicate the demand for structural particleboards is highly sensitive to price. and pricing will be a key variable determining its growth.

Keywords: price elasticities; plywood; particleboards; demand; markets; publicity

Publication Review Process: Non-Refereed (Other)

File size: 500 kb(s)

Date posted: 09/03/2014
RITS Product ID: 68602
Current FPL Scientist associated with this product
Spelter, Henry N.
Economist (Volunteer)

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