Lecture 6 Flashcards
1
Q
mean annual increment (MAI)
A
time that maximizes average volume of the stand
max V(t)/t
2
Q
optimal aging problem
A
How long do I let something stand, how do I make this decision
3
Q
how to make decision in optimal aging problem
A
compare present net returns to net returns of waiting one more year
(p-c)V(T_0) = (p-c)V(T_1)/(1+r)
4
Q
Wicksell Rule
A
follows same intuition of hotelling rule
5
Q
A
