Effect on the socially optimal rotation period in forestry of biotechnological improvements of the growth function

Abstract

The purpose of this paper is to analyse, at the stand level, how genetical or simply biotechnological progress affects the socially optimal rotation period and the value of forest land. The question has relevance for forest policy, since in many countries there are rules which regulate the shortest permissible rotation period. Given that biotechnology improves over time, one could ask in what direction and at what rate the shortest permissible rotation period should be changed. The results of this paper provide some qualitative insights into the matter.