| The understatement or omission of the environmental costs and benefits associated with forest management options results in project evaluations and policy prescriptions that are less than socially optimal. The aim of this paper is to examine the full range of costs and benefits associated with forests, distinguishing between how these should, and actually are, included in economic analyses. The paper first describes the economic analysis undertaken in the project evaluation procedure of the World Bank. The second section deals with all costs and benefits that typically occur in forestry projects. Costs and benefits are classified as on-site private, on-site public or global according to their nature and area of impact and according to the Total Economic... |
