The North American lumber market is integrated and, under normal conditions, provides unhindered access to all suppliers. North American log markets, in contrast, function on different principles: in one principle, a profit allowance for the wood processor plays a role in timber pricing, whereas...

We reexamine the effect of the U.S.-Canadian border on integration of markets. The paper updates work from our earlier paper, Engel and Rogers (1996). We consider alternative measures of deviations from the law of one price. We pay special attention to the effect of the U.S.-Canada free trade...

Replaced with revised version of paper 09/01/09.