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The Costs and Benefits of Intensive Forest Management

Published online by Cambridge University Press:  19 January 2015

Runar Brännlund ,
Ola Carlén ,
Tommy Lundgren  and
Per-Olov Marklund
Runar Brännlund
Affiliation:
Centre for Environmental and Resource Economics, Umeå University
Ola Carlén
Affiliation:
Department of Forest Economics, Swedish University of Agricultural Sciences
Tommy Lundgren
Affiliation:
Centre for Environmental and Resource Economics, Umeå University
Per-Olov Marklund
Affiliation:
Centre for Environmental and Resource Economics, Umeå University
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Abstract

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This paper presents an approach for studying the socio-economic benefits and costs (CBA) of the introduction of intensified management measures in forestry. Besides from valuation of changes in timber production, assessments of different types of externalities are included in the assessment. The model is exemplified with the use of data from a Swedish governmental study undertaken in 2009 which present impacts on the Swedish forest sector if intensified management measures are applied on environmentally low-valued land and abandoned agricultural lands. The CBA shows that intensified management measures typically are private financially profitable. If these measures also become profitable from the society’s point of view depend on the size of the external effects including carbon balance.

Keywords

cost-benefit analysisexternal effecttimber productioncarbon sequestrationfuel substitution
Type
Article
Information
Journal of Benefit-Cost Analysis , Volume 3 , Issue 4 , 17 December 2012 , pp. 1 - 23
Copyright
Copyright © Society for Benefit-Cost Analysis 2012

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