ABSTRACT
Forecasting is an especially important activity of the forest economics community. Few forecasts of demand or supply are made for their own sake, the scope of forecasting research necessarily includes the application of demand and supply relationships in market and forest sector models, long-range forest planning, valuation of resources and outputs, and development of market and investment strategies. Demand and supply relationships and the models that use them are by necessity only abstractions and simplifications of markets and industries operating in an incredibly complex and changing world. Research involving forecasts or demand and supply has emphasized timber as a forest output. Equilibrium market or sector models incorporating demand and supply relationships have achieved both substantial sophistication and practical usefulness. Research should be undertaken to determine how demand and supply relationships and forecasts can be effectively applied to variety of policy problems. Forecasting the supply and demand of forest resources and products is an especially important activity within the forestry community.
