Urgency Index Ratios: a Simple Tool for Forest Management

Traditional forest economics deals with regularly-ordered activities.For many reasons, however, choices must often be made amongconflicting operational priorities. In these circumstances,maximizing net discounted revenue per hectare does not maximizeglobal profit. Priorities for action should be chosen in orderof urgency index ratio, defined as the cost of delaying an operationdivided by the units of limited resource needed to undertakethe operation. Forest managers tend to use informal and sometimesconflicting rules to assign priorities among uses of limitedresources. These priorities often differ from those indicatedby urgency index ratio. Urgency index ratio can be determinedby simple calculations based on readily-available data. Theconcept can be extended to include multiple constraints.