Knut Wicksell on the Optimal Rotation Problem in Forestry

This paper introduces the ideas related to economically optimal forest management, which are contained in a recent discovered and published manuscript written by the Swedish economist Knut Wicksell. The manuscript shows a slightly different approach to capital and investment theory, than the one that has reigned since Irving Fisher’s “The Theory of Interest Rates”. Moreover, Wicksell solves, given his approach, the optimal rotation problem in forestry in an appropriate manner.