The short-term economic impacts of the Private Woodlot Silviculture Program in New Brunswick
1995
MacFarlane, D.D. | Zundel, P.
The economic impacts of the 1990-91 private woodlot silviculture program expenditures in New Brunswick were estimated. This program is part of a Federal-Provincial forestry agreement which provides woodlot owners with financial assistance to carry out a variety of stand improvement and reforestation activities. A survey was conducted in the spring of 1992 to gather information on financial, educational and social characteristics of program participants and employees. The economic impacts were quantified using an input/output simulation model. The impacts are modest due to the province's heavy reliance on imports of consumer goods. Multipliers (i.e. direct, indirect and induced impact) for wages and salaries, gross domestic product at factor cost and employment were 1.23, 1.36 and 1.41, respectively. Multipliers are also presented for the individual program participant groups surveyed. An in-depth study to examine the origin of imports is recommended. Silviculture employees earn an average weekly gross pay of $606 but only work 15.21 weeks/year. Approximately 26% of gross pay was absorbed by work-related expenses. The silviculture contractors interviewed depended on the private woodlot program for almost 70% of their annual income. Eliminating the private woodlot silviculture program would cause financial hardship to the silviculture contracting sector.
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