Theoretical Aspects of Forest Accounting
Many recent empirical studies have focused on national accounting issues related to forest resources, but none has systematically examined the issues from a theoretical perspective. In this paper, I demonstrate that one should adjust the level of GDP upward for household consumption of nonmarket nontimber products and forest amenities. One should not adjust the level of GDP for production externalities, however, which instead imply reallocation of sectoral value added within GDP.
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