Rotation Age, Management Intensity, and the Economic Factors of Timber Production: Do Changes in Stumpage Price, Interest Rate, Regeneration Cost, and Forest Taxation Matter?

This paper presents a rigorous analysis of the impact of changes in timber price and cost of production factors on the optimal rotation age and planting density. With the exception of the site preparation cost, changes in the price of other factors always lead to the possibility of uncertain results. Applying the results obtained to forest taxation shows that replacing an ad valorem property tax with a combination of site value tax and yield tax may produce results that are not intended. Forest Sci. 29:267-277.