Abstract
This article analyzes private forest owners’ timber supply, taking the social interactions (endogenous and contextual effects) of the forest environment into account. Forest owners’ decisions may vary depending on their observations of their peers’ behavior. Similar timb er supply behavior can also be observed when regional characteristics or those of peers are similar. Harv est decision and harvesting intensity are simultane ously evaluated by a selection model that corrects for th e endogeneity of the local timber demand. Contextua l effects are identified on the basis of the hierarchical nat ure of the data (individual and regional). Results show, in particular, that forest owners with the same charac teristics may behave differently depending on the d ynamism of the timber sector and the forest environment.
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