If logging companies are allowed to harvest on public lands, economists use present value analysis to suggest that logging companies will
A)harvest all they can as quickly as the can.
B)leave the young trees for later.
C)harvest only the prettiest trees.
D)leave only the taller trees.

Question

Quizplus · Accepted Answer

Present value analysis suggests that companies will prioritize harvesting as much as they can quickly, as the value of the timber decreases over time. This means that if logging companies are allowed to harvest on public lands, they will prioritize quick harvesting rather than leaving young or pretty trees for later.

If Logging Companies Are Allowed to Harvest on Public Lands