Question # 1: Explain how a timber company can determine whether to clear cut a

Question

Question # 1: Explain how a timber company can determine whether to clear cut a forest plot or practice sustainable forestry. What variables will they take into account?

Question # 2: Discuss the main causes of forest loss, and explain how these vary in different areas of the world.

Question # 3: List and describe supply-side policies that could be instituted to encourage more sustainable forestry.

Question # 4: How can water markets increase economic efficiency? List three conditions necessary for a successful water market.

Explanation / Answer

Ans 1. Suatainable forestry has been used to reconcile the demand for tropical woods with preservation of forests. By carefully removing only as many of the tress and quickly replacing by planting tree seedlings of desirable species. Logging in sustainable forestry is selective.

Ans 2. Forest loss contributed to between 6% to 12% globally.

Causes:

- More land available for housing & urbanization;

- To harvest timber to create commercial items such as paper...

- To create ingredients that are highly prized consumer items;

- To create room for cattle ranching.

Ans3.Policy focus-

- promotion of resources and capacity of owners;

- facilitating of access to resources;

- improving the views on entrepreneurship;

- institutional factors.

Ans 4. Allocation of water to different sectors can be viewed from a purely economic point of view as a portfolio of investment projects.Three conditions are:

1. Flexibilty in allocation of water supplies;

2. Security of tenure of established users;

3. Real opportunity cost of providing the resource by the users.

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects