Economic Impacts of Fire

Contracting capacity and local capture can be the result of local economic conditions (supply side conditions) as well as agency contracting practices (demand side conditions). In order to capture contracts locally, local businesses that can perform the work need to exist, and past experience contracting with the federal government is a reasonable indicator of that capacity.

Although fire managers, policymakers, and communities are benefiting from better understanding of suppression costs, property losses, and community impacts of large fires, no generalizable empirical research has quantified the specific effect of large wildfires on local employment and wages.

Wood bioenergy is touted as carbon neutral because biological regrowth recaptures the carbon released in energy production. However, some argue that using wood as an energy feedstock will result in decreased forest stocks and thereby a net reduction of carbon sequestered by forests.