Suppose a forest has 8000 units of woods that increases naturally by 2.6% per ye

Question

Suppose a forest has 8000 units of woods that increases naturally by 2.6% per year.

Question 1: For each of the following exploitation rates, determine whether the forest is sustainable or not sustainable at the end of the first year? 1.3% per year; 2.6% per year; 5.2% per year; and 7.8% per year. . Show calculations for full points.

Question 2: Using the exploitation rates in Question 1, determine whether the forest is sustainable or not sustainable at the end of the second year. Are your conclusions the same or different from your conclusions in Question 1? . Show calculations for full points.

Question 3: Is it feasible to determine the sustainability of non-renewable resources using the exploitation rate-replenishment rate framework? If yes or no, briefly explain.

Explanation / Answer

Initial units of wood = 8000

Increment rate = 2.6% per year

Therefore, total no. of units per year = based units + new growth

                                                                  = 8000 + (8000*2.6%)

                                                                    = 8208 units of wood will be available next year

Answer 1: If the exploitation rate is more than the increment rate, then the forest is not sustainable

Answer 2: the forest is only sustainable when the exploitation rate in 2nd year is 1.3%. for the same reasons mentioned in answer 1.

Answer 3: yes, it is possible to determine the sustainability of a resource using exploitation rate and replenishment rate. If replenishment rate is more than exploitation rate than the resource is sustainable. For example, we don’t consider fossil fuel as a sustainable source of energy. Apart from its environmental demerits, fossil fuels replenishment rate is very slow.

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