Considering intergenerational equity in linear programming-based forest planning models with MAXMIN objective functions

This paper describes alternative approaches to formulating linear-programming-based forest planning models. These approaches consider a form of equity between current and future generations, as represented by the periods in a planning horizon. Both nominal net revenue in each period and each period's present net worth with values discounted relative to each period, are used as criteria for welfare. The minimum present net worth or net revenue outcome obtained for the set of periods is maximized. The approaches are different. Using present net worth relative to each period as a criterion allows for a concern for economic efficiency and allows variation in net revenue. Using net revenue focuses on a more even distribution of net revenue between periods. The approaches are tested in a case study, and the results are compared to those from a standard approach of maximizing present net worth relative to the first period. The results suggest that the approaches could be useful in a forest planning context, either as an alternative to standard approaches or as a means of generating relevant information.