Evaluate the effectiveness of regulations and economic incentives for achieving environmental outputs from managed forest lands.
This project modeled the costs and benefits associated with alternative management policies as prerequisite for an effective incentive system. Measuring the costs and benefits in a systematic manner will allow public officials and resource managers to agree upon realistic levels of compensation and expected benefits.
While regulations generally create disincentives for resource managers by increasing costs and reducing output, incentive mechanism may allow forest managers the flexibility and creativity to find the lowest cost means of providing environmental outputs. If properly formulated, incentives will equitably distribute the costs of increased environmental outputs.