Since 1993 a major research programme, "Stochastic Decision Analysis in Forest Management" has been running at Department of Economics and Natural Resources, The Royal Veterinary and Agricultural University (KVL), Copenhagen, in collaboration with Institute of Mathematical Statistics, University of Copenhagen (KU). The research is funded by the two Universities; The Danish Agricultural and Veterinary Research Council; The Danish Research Academy; The National Forest and Nature Agency; and Danish Informatics Network in the Agricultural Sciepces (DINA). A first international workshop in the research programme was held 5 - 8 August, 1996 at Eldrupgaard, Denmark, within the frameworkofacollaborationagreementbetween University of California at Berkeley (UCB) and the Danish Universities, and funded by The Danish Research Academy and the L0venholm Foundation. Having participated in the workshop, Professor Peter Berck (UCB) suggested that the papers be published along with selected papers in the same scientific field, i.e. mainly cointegration analysis of time series in forestry. The editors express their sincere appreciations to the many persons who have contributed to the realisation of the present book: participants in the research programme and the workshop, in particular Professors S0ren Johansen (KU) and Peter Berck (UCB); authors outside the programme/workshop; reviewers of the papers not previously published, in particuler Associate Professors Niels Haldrup (Aarhus University) and Henrik Hansen (KVL); and finally Mrs Mette Riis and Lizzie Rohde who did the tedious work of giving the papers a uniform style. Copenhagen, October 1998.

The papers in this book were 'in a preliminary version' presented at an international con ference May 21-25, 2002 in Gilleleje, Denmark. It was a joint event, namely the biennial meeting of the Scandinavian Society of Forest Economics and the 3rd Berkeley-KVL Con ference. The Scandinavian Society of Forest Economics (SSFE) was established in 1958 as a forum for forest economists in the Nordic countries to meet and exchange ideas on research and education. Alternating between Denmark, Finland, Norway and Sweden, biennial ordinary meetings have taken place ever since. The number of participants has increased from 10-15 in the first decade to more than 80 in 2002. In the last two decades prominent researchers from outside Scandinavia have been invited to present papers at the biennial meetings and also to participate in ad hoc working groups. The Berkeley-KVL part of the conference is based on a research collaboration between The Royal Veterinary and Agricultural University (KVL), Copenhagen, University of Cali fornia at Berkeley, and Oregon State University. It was initiated in 1993 within the frame work of a research programme at KVL: 'Stochastic Decision Analysis in Forest Manage ment' and since 1996 extended to the programme 'Economic Optimisation of Multiple-Use Forestry and Other Natural Resources'."

The papers in this book were 'in a preliminary version' presented at an international con ference May 21-25, 2002 in Gilleleje, Denmark. It was a joint event, namely the biennial meeting of the Scandinavian Society of Forest Economics and the 3rd Berkeley-KVL Con ference. The Scandinavian Society of Forest Economics (SSFE) was established in 1958 as a forum for forest economists in the Nordic countries to meet and exchange ideas on research and education. Alternating between Denmark, Finland, Norway and Sweden, biennial ordinary meetings have taken place ever since. The number of participants has increased from 10-15 in the first decade to more than 80 in 2002. In the last two decades prominent researchers from outside Scandinavia have been invited to present papers at the biennial meetings and also to participate in ad hoc working groups. The Berkeley-KVL part of the conference is based on a research collaboration between The Royal Veterinary and Agricultural University (KVL), Copenhagen, University of Cali fornia at Berkeley, and Oregon State University. It was initiated in 1993 within the frame work of a research programme at KVL: 'Stochastic Decision Analysis in Forest Manage ment' and since 1996 extended to the programme 'Economic Optimisation of Multiple-Use Forestry and Other Natural Resources'."

In 1996 a major six-year research programme, 'Economic Optimisation of Multiple-Use Forestry and Other Natural Resources' was implemented at Department of Economics and Natural Resources, The Royal Veterinary and Agricultural University (KVL), Copenhagen. The research is funded by KVL; The Danish Agricultural and Veterinary Research Council; The Danish Research Academy; The Danish Forest and Landscape Institute; The Danish Forest and Nature Agency; and The Danish Environmental Protection Agency. The overall objective of the research programme is to enhance the economic theory of sustainable multiple-use forestry and landscape management planning. Emphasis is on decision-making ! management planning from an economic point of view, the basic criterion being rationality as implemented by application of Operations Research methods with regard to sustainable and multiple use of forests and other natural resources in the landscape. The research programme benefits from collaboration agreements with University of California at Berkeley, Department of Agricultural and Resource Economics, and Oregon State University, Department of Forest Resources. As part of the research programme, a second international conference and workshop was held 6 - 12 August, 1998 at KVL, with the title: '2nd Berkeley-KVL Conference on Natural Resource Management -Design and Implementation of Multiple-Use Management'. This event was financed by The Danish Research Academy. Some of the papers presented were selected for peer-reviewing and subsequent publishing. The outcome is the present book in which no paper has been previously published.

Since 1993 a major research programme, "Stochastic Decision Analysis in Forest Management" has been running at Department of Economics and Natural Resources, The Royal Veterinary and Agricultural University (KVL), Copenhagen, in collaboration with Institute of Mathematical Statistics, University of Copenhagen (KU). The research is funded by the two Universities; The Danish Agricultural and Veterinary Research Council; The Danish Research Academy; The National Forest and Nature Agency; and Danish Informatics Network in the Agricultural Sciepces (DINA). A first international workshop in the research programme was held 5 - 8 August, 1996 at Eldrupgaard, Denmark, within the frameworkofacollaborationagreementbetween University of California at Berkeley (UCB) and the Danish Universities, and funded by The Danish Research Academy and the L0venholm Foundation. Having participated in the workshop, Professor Peter Berck (UCB) suggested that the papers be published along with selected papers in the same scientific field, i.e. mainly cointegration analysis of time series in forestry. The editors express their sincere appreciations to the many persons who have contributed to the realisation of the present book: participants in the research programme and the workshop, in particular Professors S0ren Johansen (KU) and Peter Berck (UCB); authors outside the programme/workshop; reviewers of the papers not previously published, in particuler Associate Professors Niels Haldrup (Aarhus University) and Henrik Hansen (KVL); and finally Mrs Mette Riis and Lizzie Rohde who did the tedious work of giving the papers a uniform style. Copenhagen, October 1998.