TitleAre there efficiency gains from the removal of natural resource export restrictions? Evidence from British Columbia
Publication TypeJournal Article
Year of Publication2013
AuthorsFooks, JR, Dundas, SJ, Awokuse, TO
JournalThe World Economy
Start Page1098
Date Published02/2013

Log export bans are a popular development tool utilised by developing nations with sizable endowments of timber; however, the actual impact of these policies is debatable. British Columbia has a developed forestry sector and still maintains a LEB. This trade restriction continually creates conflicts with Canada's international trade partners, including the United States. This paper examines the efficiency implications of a hypothetical removal of roundwood export restrictions in British Columbia using roundwood price and quantity data from 1995 to 2008. A time-series econometric approach is utilised to determine supply and demand elasticities for British Columbia's roundwood. Empirical results from a vector error correction model suggest that a removal of export restrictions will generate an overall increase of approximately $347.91 million US dollars per year to British Columbia's forest economy.