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An analysis of Greek wood and wood product imports: Evidence from the linear quadratic aids
Authors:Garyfallos Arabatzis  Stathis Klonaris  
Institution:aDepartment of Forestry and Management of the Environment and Natural Resources, Democritus University of Thrace, Pantazidou 193, 68200, Orestiada, Greece;bDepartment of Agricultural Economics & Rural Development, Agricultural University of Athens, Iera Odos 75, 118 55, Athens, Greece
Abstract:The consumption of wood and wood products in Greece is based greatly on imports necessitating every year a great proportion of public expenditures. The study of wood and wood product imports consequently, is important to the national economy and can be a useful guide for the forest farms, wood industries and wood firms. In this paper the Greek aggregate import demand for Unprocessed wood (such as logs) Processed wood (such as sawn wood), Veneer Crafts (such as veneer sheets) and Wood Manufactures during the period 1969–2001 is empirically analysed using the linear approximation of quadratic AIDS (QUAIDS) model. Imports of Unprocessed wood, Veneer Crafts and Wood Manufactures are found to be price-elastic, in contrast to Processed wood imports. Processed wood, Veneer Crafts and Wood Manufacture imports are found to be expenditure-elastic while Unprocessed wood is found to be an inferior good. Substitution possibilities are found to be significant between Veneer Crafts and all the remaining wood imports and between Processed wood and Unprocessed wood.
Keywords:Wood imports  Demand analysis  Linear QUAIDS  Greece  Elasticities
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