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How Much Does the Farmer Make From His Timber Sales?

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The farmers' lack of interest in sustained yield forestry is often ascribed to lack of profits or to low market prices for timber products. This opinion is partly due to the methods by which foresters appraise the financial possibilities of farm forestry. Costs may be determined on a uniform cost accounting basis wherein all apparently assignable costs must be taken into consideration and prorated. Costs can also be determined according to economic principles wherein only certain costs need be considered for certain purposes. The economic principles involved in appraising the value of the farm forestry enterprise to the farmer are described. The difference in farm forestry costs as determined on the basis of these economic principles and on the basis of a uniform cost accounting method strikingly shows that the farmer is usually getting more from his timber sales than the forester suspects. This economic approach to the farm forestry problem should be of considerable help to the forester in convincing farmers of the financial advantages of practising forestry.
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Document Type: Journal Article

Affiliations: Forestry Relations Department, Tennessee Valley Authority

Publication date: 01 June 1940

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