The Effect of Recent Economic Trends and Research on the Financial Aspects of Forest Investments

In the past, sustained-yield forestry has had to compete for capital with high-grade stocks and bonds yielding comparatively high rates of interest. Due to the supply of capital available for investment, interest rates have fallen from 6 to 2 ½ to 3 ½ per cent. This reduction, together with the fact that in many cases the indebtedness of the industry can be refinanced at lower interest rates, should have a favorable effect on sustained-yield forestry.