Easy evaluation of establishment treatments

Oscar García
Instituto Forestal, Chile

Abstract

The obvious approaches to comparing profitability of competing tree establishment techniques or treatments would require much data on growth, costs, and revenues. This in-depth knowledge is frequently unavailable or unreliable. A simple alternative is presented that often can determine economic viability with little detailed information. Specifically, assuming that an improved method shortens stand development time by d years, it is shown that a break-even additional relative cost can be computed knowing just d and the discount rate or internal rate of return.