New Development in Study of the Faustmann Optimal Forest Harvesting

Abstract

Chinese forest resources have become very scarce in the face of rapid economic growth demand, while the reform of collective forest right system is in full swing across the country. It will directly affect the regeneration level of forest resources and the diverse ecological value functions. In this article, the mainstream model paradigm of forest economics, that is, the basic framework of the Faustmann model and its evolution process are made in a more detailed explanation, especially the extended model including considered silvicultural effort, tax subsidies, risk dynamic management, and forest regeneration factors are made in more detailed explanations. This article concludes with the future further research directions of forest economics, including the design of dynamic models that includes considered uneven-aged forest management, non-timber goods and services, dynamic forest models. The research reflects the general trend of interdisciplinary and cross-border.