We solve Faustmann’s problem when the land manager plans to switch from the current tree species to some alternative species or land use. Such situations occur when the relative value of the alternative increases faster than the value of the species currently in place. The paper characterizes the land value function and the optimum rotations, highlighting the differences between this non-autonomous problem and the traditional Faustmann’s problem. We show in particular that rotations can be either higher and increasing, or lower and decreasing, compared to the traditional, constant, Faustmann’s rotation.

Voir le document

Centre interuniversitaire de recherche en analyse des organisations
1130 rue Sherbrooke Ouest, suite 1400
Montréal, Québec (Canada) H3A 2M8
(514) 985-4000
(514) 985-4039

© 2019 CIRANO. Tous droits réservés.

Partenaire de :

Website Security Test