The objective of this study is to determine the cost to society of preserving the Carmanah Creek watershed in its natural state. The cost of preserving the valley is viewed as the cost of forgoing the opportunity to harvest the timber. A complete cost-benefit analysis would compare the economic benefit of logging with the benefit from preserving the timber. Only if the benefits from logging exceed those from preserving should the timber be harvested. But due to the difficulty of measuring intangible non-timber benefits, the cost of the forgone opportunity to harvest the timber is the best measure of the cost of preservation. If the cost of preservation (the benefit of harvesting) is relatively low, then intangible non-timber value are more likely to exceed timber values—the prudent decision would obviously be not to harvest.
Let me share with you some comments made by Adam Zimmerman, Chairman of Noranda Inc., after the Australian government denied his firm the right to build a polluting pulp mill in the Tasmanian forest.
AT FIRST GLANCE Larry Solomon seems like the answer to a businessman’s prayers. An environmentalist who believes passionately in the free-market system, his call for the privatization of Crown land and public utilities has won him the praise of the conservative Fraser Institute — and the wrath of fellow environmentalists.
Wherever trees grow on private land, forest owners seem to draw the ire of their governments. The government of Ontario has a problem with the way many of its small, private woodlot owners tend their forests: They won’t cut down their trees. The government’s surveys conclude that these smallholders – mostly farmers, professionals and retirees, who control more that 10 million acres of timberland – have what government experts call "a rather indifferent attitude" toward their land.
Robert Rivard of the Canadian Lumbermen’s Association would like to go back to “the old free trade deal.” He feels the previous arrangement reflected a more Canadian brand of free trade that better served his association’s members.