Biodiversity and Timber in the Coast Range of Oregon: Inside the Production Possibility Frontier

Abstract

This study attempts to bridge the gap between studies that model cost-effective land management for single species and studies that model large sets of species or biodiversity. We estimated a production possibility frontier for biodiversity and timber production using simulated annealing for a study area in the Coast Range of Oregon. The model produced spatially explicit land management regimes over a 100-year time horizon. Current landowner objectives were then simulated and compared to cost-effective management along the production possibility frontier. The results suggest substantial potential for improving efficiency of forest land management in the study area. (JEL Q23)