scholarly journals Economic effects of grouse-friendly forest management

Silva Fennica ◽  
2021 ◽  
Vol 55 (3) ◽  
Author(s):  
Arto Haara ◽  
Juho Matala ◽  
Markus Melin ◽  
Janne Miettinen ◽  
Kari Korhonen ◽  
...  
Keyword(s):  
Forest Management ◽  
Interest Rate ◽  
Interest Rates ◽  
Management Practices ◽  
Net Present Value ◽  
Economic Effects ◽  
Negative Effects ◽  
Management Guidelines ◽  
Thinning Intensity ◽  
Management Approaches

Traditional timber production may have negative effects on other ecosystem services. Therefore, new forest management guidelines have been developed in order to enhance a habitat suitable for wildlife. In Finland, a recent example of this is grouse-friendly forest management (GFFM) which emphasises the preservation of grouse species (Tetronidae) habitats. This study aimed to analyse the economic effects of these guidelines. An analysis was made on how the application of GFFM affected the Net Present Value (NPV) in a 30-year simulation of forest management of four large forest holdings located from south to north in Finland. In the simulations, traditional forest management practices were compared to two levels of GFFM. Five levels of interest rate were used, namely 1, 2, 3, 4, and 5%. In most of the simulations, the NPV was reduced by about 1% or less due to the application of GFFM in comparison to the traditional reference forest management. Only in one case with more intensive GFFM, was the reduction of NPV more than 5%. The interest rates had an impact on the differences between the management approaches. For example, a low interest rate resulted in a higher thinning intensity in GFFM in comparison to traditional forest management, which lead to a higher NPV in GFFM. To sum up, it seems that it would be possible to manage forest holdings in a grouse-friendly manner with minor effects on the economics.

Economic effects of monetary policy in Russia: What do large datasets tell us?

2020 ◽  
pp. 31-53 ◽  
Author(s):  
Anna A. Pestova ◽  
Natalia A. Rostova
Keyword(s):  
Monetary Policy ◽  
Interest Rate ◽  
Interest Rates ◽  
Economic Activity ◽  
Global Financial Crisis ◽  
Exchange Rate Regime ◽  
Aggregate Demand ◽  
Economic Effects ◽  
Theoretical Concepts ◽  
Empirical Estimates

Is the Bank of Russia able to control inflation and, at the same time, manage aggregate demand using its interest rate instruments? In other words, are empirical estimates of the effects of monetary policy in Russia consistent with the theoretical concepts and experience of advanced economies? This paper is aimed at addressing these issues. Unlike previous research, we employ “big data” — a large dataset of macroeconomic and financial data — to estimate the effects of monetary policy in Russia. We focus exclusively on the period after the 2008—2009 global financial crisis when the Bank of Russia announced the abandoning of its fixed ruble exchange rate regime and started to gradually transit to an interest rate management. Our estimation results do not confirm standard responses of key economic activity and price variables to tightening of monetary policy. Specifically, our estimates do not reveal a statistically significant restraining effect of the Bank of Russia’s policy of high interest rates on inflation in recent years. At the same time, we find a significant deteriorating effect of the monetary tightening on economic activity indicators: according to our conservative estimates, each of the key rate increases occurred in March and December 2014 had led to a decrease in the industrial production index by about 0.2 percentage points within a year.

scholarly journals The Ability of Selected European Countries to Face the Impending Economic Crisis Caused by COVID-19 in the Context of the Global Economic Crisis of 2008

2020 ◽  
Vol 13 (8) ◽  
pp. 179
Author(s):  
Róbert Oravský ◽  
Peter Tóth ◽  
Anna Bánociová
Keyword(s):  
Interest Rate ◽  
Interest Rates ◽  
Economic Crisis ◽  
Economic Effects ◽  
European Countries ◽  
Consumer Confidence ◽  
Negative Consequences ◽  
Confidence Index ◽  
The Interest Rate ◽  
The Impact

This paper is devoted to the ability of selected European countries to face the potential economic crisis caused by COVID-19. Just as other pandemics in the past (e.g., SARS, Spanish influenza, etc.) have had negative economic effects on countries, the current COVID-19 pandemic is causing the beginning of another economic crisis where countries need to take measures to mitigate the economic effects. In our analysis, we focus on the impact of selected indicators on the GDP of European countries using a linear panel regression to identify significant indicators to set appropriate policies to eliminate potential negative consequences on economic growth due to the current recession. The European countries are divided into four groups according to the measures they took in the fiscal consolidation of the last economic crisis of 2008. In the analysis, we observed how the economic crisis influences GDP, country indebtedness, deficit, tax collection, interest rates, and the consumer confidence index. Our findings include that corporate income tax recorded the biggest decline among other tax collections. The interest rate grew in the group of countries most at risk from the economic crisis, while the interest rate fell in the group of countries that seemed to be safe for investors. The consumer confidence index can be considered interesting, as it fell sharply in the group of countries affected only minimally by the crisis (Switzerland, Finland).

scholarly journals INTEREST RATE RISK IN TURKISH FINANCIAL MARKETS ACROSS DIFFERENT TIME PERIODS

2014 ◽  
Vol 16 (3) ◽  
pp. 183-204
Author(s):  
Durmus Özdemir ◽  
Harald Schmidbauer
Keyword(s):  
Interest Rate ◽  
Interest Rates ◽  
Stock Exchange ◽  
Risk Measure ◽  
Generalized Pareto Distribution ◽  
Interest Rate Risk ◽  
Negative Effects ◽  
Good Tool ◽  
Generalized Pareto ◽  
Rate Risk

A Measuring the risk associated with interest rates is important since it is beneficial in taking measures before negative effects can take place in an economy. We obtain a risk measure for interest rates by fitting the generalized Pareto distribution (GPD) to positive extreme day-to-day changes of the interest rate, using data from the Istanbul Stock Exchange (ISE) Second Hand Bond Market, namely Government Bond interest rate closing quotations, for the time period 2001 through 2009. Although the use of the GPD in the context of absolute interest rates is well  ocumented in literature, our approach is different insofar and contributes to the literature as changes in interest rates constitute the target of our analysis, reflecting the idea that risk arises from abrupt changes in interest rate rather than in interest rate levels themselves. Our study clearly shows that the GPD, when applied to interest rate changes, provides a good tool for interest rate risk assessment, and permit a period-specific risk evaluation.  Keyword: Interest rate risk; covered interest parity; Turkey; generalized Pareto distributionJEL Classification: G1; C1

scholarly journals Effect of drought and heat stresses on plant growth and yield: a review

2013 ◽  
Vol 27 (4) ◽  
pp. 463-477 ◽  
Author(s):  
J. Lipiec ◽  
C. Doussan ◽  
A. Nosalewicz ◽  
K. Kondracka
Keyword(s):  
Adverse Effects ◽  
Plant Growth ◽  
Management Practices ◽  
Foliar Application ◽  
Growth And Yield ◽  
Plant Responses ◽  
Phenotypic Flexibility ◽  
Negative Effects ◽  
Effects Of Drought ◽  
Management Approaches

Abstract Drought and heat stresses are important threat limitations to plant growth and sustainable agriculture worldwide. Our objective is to provide a review of plant responses and adaptations to drought and elevated temperature including roots, shoots, and final yield and management approaches for alleviating adverse effects of the stresses based mostly on recent literature. The sections of the paper deal with plant responses including root growth, transpiration, photosynthesis, water use efficiency, phenotypic flexibility, accumulation of compounds of low molecular mass (eg proline and gibberellins), and expression of some genes and proteins for increasing the tolerance to the abiotic stresses. Soil and crop management practices to alleviate negative effects of drought and heat stresses are also discussed. Investigations involving determination of plant assimilate partitioning, phenotypic plasticity, and identification of most stress-tolerant plant genotypes are essential for understanding the complexity of the responses and for future plant breeding. The adverse effects of drought and heat stress can be mitigated by soil management practices, crop establishment, and foliar application of growth regulators by maintaining an appropriate level of water in the leaves due to osmotic adjustment and stomatal performance.

Economics of harvesting boreal uneven-aged mixed-species forests

2015 ◽  
Vol 45 (8) ◽  
pp. 1102-1112 ◽  
Author(s):  
Janne Rämö ◽  
Olli Tahvonen
Keyword(s):  
Steady State ◽  
Interest Rate ◽  
Interest Rates ◽  
Norway Spruce ◽  
Net Present Value ◽  
Single Species ◽  
Mixed Species ◽  
Volume Yield ◽  
Gradient Based ◽  
The Interest Rate

The subject of this study is the economics of harvesting boreal uneven-aged mixed-species forests consisting of Norway spruce (Picea abies (L.) Karst.), Scots pine (Pinus sylvestris L.), birch (Betula pendula Roth and B. pubescens Ehrh.), and other broadleaves. The analysis is based on an economic description of uneven-aged forestry, applying a size-structured model. The optimization problem is solved in its general dynamic form using gradient-based interior point methods. When volume yield is maximized, the optimal steady state is a nearly pure Norway spruce stand at all site types, producing slightly higher yields than single-species stands. After including sawlog and pulpwood prices, the net present value of stumpage revenues is maximized using 1%, 3%, and 5% interest rates and a 15-year harvesting interval. At less productive sites, the stands are nearly pure Norway spruce stands, regardless of the interest rate. At more productive sites, increasing the interest rate increases the species diversity, with optimal steady states consisting of both Norway spruce and birch. In some cases, rather small changes in relative prices change the optimal steady state into a birch-dominated stand. Optimal solutions converge to the same steady-state solutions, independent of the initial stand state. If other broadleaves without commercial value are not harvested, they will eventually dominate the stand.

scholarly journals Citizen Participation to Finance PV Power Plants Focused on Self-Consumption on Company Roofs—Findings from an Austrian Case Study

Energies ◽  
2021 ◽  
Vol 14 (3) ◽  
pp. 738
Author(s):  
Matthias Linhart ◽  
Valerie Rodin ◽  
Simon Moser ◽  
Andrea Kollmann
Keyword(s):  
Interest Rate ◽  
Interest Rates ◽  
Citizen Participation ◽  
Power Plants ◽  
Economies Of Scale ◽  
Net Present Value ◽  
Small Scale ◽  
Industrial Parks ◽  
Financial Benefits ◽  
Joint Purchase

Despite large amounts of available roof space, long pay-back periods for investments in photovoltaic (PV) power plants often hinder PV installations in industrial parks. Photovoltaic citizen participation initiatives (PV-CPI) are an alternative way of financing PV power plants that add non-financial benefits to these investments. This paper analyzed the feasibility of the installation of PV power plants focused on high rates of self-consumption financed by citizen participation initiatives on the roofs of five companies located in the Austrian Ennshafen industrial business park based on the net present value and the discounted pay-back period and compared it to a standard financing scheme, assuming a predetermined interest rate for participants as well as economies of scale with respect to the specific installation costs due to a joint purchase of the PV power plants. To calculate the feasibility, site-specific data and literature input have been used. The results show that despite an interest rate above the current interest rates of conservative forms of investments provided to (small-scale) investors, a payback-period of 17–23 years can be reached while the joint purchase can lead to a competitive feasibility of the PV-CPI compared to an individual purchase of PV power plants.

scholarly journals Combining Climate Change Mitigation Scenarios with Current Forest Owner Behavior: A Scenario Study from a Region in Southern Sweden

Forests ◽  
2020 ◽  
Vol 11 (3) ◽  
pp. 346 ◽  
Author(s):  
Isak Lodin ◽  
Ljusk Ola Eriksson ◽  
Nicklas Forsell ◽  
Anu Korosuo
Keyword(s):  
Climate Change ◽  
Forest Management ◽  
Climate Change Mitigation ◽  
Management Practices ◽  
Future Climate Change ◽  
Forest Owner ◽  
Current Management ◽  
Mitigation Scenarios ◽  
Management Approaches ◽  
Change Mitigation

This study investigates the need for change of current forest management approaches in a southern Swedish region within the context of future climate change mitigation through empirically derived projections, rather than forest management according to silvicultural guidelines. Scenarios indicate that climate change mitigation will increase global wood demand. This might call for adjustments of well-established management approaches. This study investigates to what extent increasing wood demands in three climate change mitigation scenarios can be satisfied with current forest management approaches of different intensities in a southern Swedish region. Forest management practices in Kronoberg County were mapped through interviews, statistics, and desk research and were translated into five different management strategies with different intensities regulating management at the property level. The consequences of current practices, as well as their intensification, were analyzed with the Heureka Planwise forest planning system in combination with a specially developed forest owner decision simulator. Projections were done over a 100-year period under three climate change mitigation scenarios developed with the Global Biosphere Management Model (GLOBIUM). Current management practices could meet scenario demands during the first 20 years. This was followed by a shortage of wood during two periods in all scenarios unless rotations were reduced. In a longer timeframe, the wood demands were projected to be easily satisfied in the less ambitious climate change mitigation scenarios. In contrast, the demand in the ambitious mitigation scenario could not be met with current management practices, not even if all owners managed their production forests at the intensive extreme of current management approaches. The climate change mitigation scenarios provide very different trajectories with respect to future drivers of forest management. Our results indicate that with less ambitious mitigation efforts, the relatively intensive practices in the study region can be softened while ambitious mitigation might push for further intensification.

scholarly journals Commercial Real Estate at the ZLB

2018 ◽  
Vol 13 (1) ◽  
pp. 32-53
Author(s):  
Bjørnar Karlsen Kivedal ◽  
Trond Arne Borgersen
Keyword(s):  
Interest Rate ◽  
Real Estate ◽  
Interest Rates ◽  
Systemic Risk ◽  
Net Present Value ◽  
Weighted Average ◽  
Commercial Real Estate ◽  
Federal Funds Rate ◽  
Evaluation Models ◽  
The Difference

This paper analyses the implications of a low interest rate environment (the zero lower bound – ZLB) for the demand of commercial real estate. The main intention of the paper is to track any asymmetry between evaluation models at ZLB relative to more “normal” interest rate levels. First we apply a conventional net-present value (NPV) approach, where the weighted average cost of capital (WACC) and the capital asset pricing model (CAPM) are used for evaluation. Considering the invariance level of systemic risk we find WACC to be an alternative to CAPM for offensive and defensive investments when interest rates are “normal”. However, at the ZLB, WACC is an alternative for investments that carry the same risk as the market and beta-values are close to one. Second, we simulate our models using US data to see how the WACC shortcut performs across different interest rate levels, and especially at ZLB, in this economy. We see differences between the period preceding the financial crisis and the period after 2010, even though the Federal Funds rate is close to zero in both periods. We relate this to the difference in systemic risk between the two periods, and show how the result in the latter period is quite equal across evaluation models.

scholarly journals History of Forest Management in Nepal: An Analysis of Political and Economic Perspective

2019 ◽  
Vol 42 (3-4) ◽  
pp. 12-28
Author(s):  
Yogesh Ranjit
Keyword(s):  
Forest Management ◽  
Economic History ◽  
Management Practices ◽  
Economic Effects ◽  
The Political ◽  
State Control ◽  
Economic Perspective ◽  
Secondary Sources ◽  
Forest Management Practices ◽  
History Of

Forest management, a kind of practical application, is technical, scientific and economic principle of forestry to maintain and management. The history of forest management in Nepal is closely associated with the political and economic history of the country. Any change in economic and political and economic situation also directly or indirectly changes the forest management practices of Nepal. The main objective of the study is to analyze the historical development of forest management of Nepal from political and economic perspective. It is a historical and descriptive nature of the study i.e. fully based on the secondary sources of data and information in order to have better understanding about the political and economic effects on forest management practices. The key political changes in the country have been divided into five different periods and thereby notably changes in forest management practices which is starting from the state control and exploitation of forests to people's participation, protection, and conservation, sustainable, and scientific forest management. People's participation in forest management has been widely accepted in legal as well as policy level.

scholarly journals Expected Rates of Value Growth for Individual Sugar Maple Crop Trees in the Great Lakes Region: A Reply to John E. Wagner's Comment

2009 ◽  
Vol 26 (4) ◽  
pp. 145-147 ◽  
Author(s):  
James B. Pickens ◽  
Dean L. Johnson ◽  
Blair D. Orr ◽  
David D. Reed ◽  
Charles E. Webster ◽  
...  
Keyword(s):  
Interest Rate ◽  
Interest Rates ◽  
Risk Adjustment ◽  
Sugar Maple ◽  
Net Present Value ◽  
Rate Of Return ◽  
Great Lakes Region ◽  
Internal Rate Of Return ◽  
Present Value ◽  
Value Growth

Abstract This article is a reply to the comment of Wagner (2009) concerning our article in this issue (Webster et al. 2009). We believe that our use of rate of value growth (RVG), which is analogous to internal rate of return, is acceptable and even preferred for the situation we address. We agree with Wagner that maximization of net present value (NPV) is generally a preferred criterion if certain general conditions exist. As documented in the article, we recommend calculating the RVG and then comparing that value to the relevant threshold interest rate, as selected by the decisionmaker, to make the decision whether to retain a high-quality sugar maple crop tree for another cutting cycle. It is the threshold interest rate that is a true interest rate and that includes, among other things, a risk adjustment premium appropriate for this investment; the RVG was not represented as an interest rate in Webster et al. (2009). We believe RVG is a more appropriate criterion for several reasons: it is widely used by practitioners, closely related previous literature relied on similar measures, take and leave decisions are identical to the NPV criterion for interest rates 4% and above, and the perfect capital markets assumption that leads to NPV being the superior criterion is not satisfied.

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