Sustainable Wood Products as Substitutes in Building Construction: Evidence Based on Price Elasticity of Demand in Canada

EasyChair Preprint 3156

Abstract

Engineered and reconstituted wood products play an important role in building design and construction, and have positive environmental impacts. In order to promote the use of wood and wood-based products, there is a need to understand the economic factors that influence the choice of construction material. We estimated the own and cross price elasticities of demand of construction material in Canada using standard log-linear regression models with consumption and price data from 1990 to 2017. Our study shows that engineered and reconstituted wood products are substitutes for cement and steel, and hence there is a need to focus on the development of these value-added forest products, to create sustainable local economies that are economically viable, environmentally sound and socially responsible.

Keyphrases: Building Construction Industry, Engineered wood products, Sustainability, construction material, price elasticity, wood-based products

@booklet{EasyChair:3156,
  author    = {Shashi Shahi and Mathew Leitch and Mohamed Dia},
  title     = {Sustainable Wood Products as Substitutes in Building Construction: Evidence Based on Price Elasticity of Demand in Canada},
  howpublished = {EasyChair Preprint 3156},
  year      = {EasyChair, 2020}}