ANALYSIS OF APPROACHES TO VALUATION OF ECONOMIC EFFECTIVENESS OF LOW FOREST MANAGEMENT IN CONDITIONS OF THE CZECH REPUBLIC

The article focuses on identification, analysis and proposal of methods for valuation of economic effectiveness of low forest (coppice) management in comparison with high forest management in the Czech Republic (CR). Such a research task has not been dealt with for a long time in the CR because the low forest (coppice) has not been managed for economic purposes for a long period. 'therefore, there is a lack of information and data about respective economic and socio-economic effectiveness of coppicing compared to economic effectiveness of high forest in the CR. The following approaches for economic effectiveness valuation of coppice compared to high forest were analysed and propose& Net Present Value, Internal Rate of Return, Index of Profitability, and Yield Method of the Forest Rental Theory. The length of rotation period of high forest should be a time frame for the valuation; several options of discount rates should be used. Due to lack of data from forestry practice it is necessary to employ a model approach. Because of too general and hypothetical knowledge about environmental benefits of coppice compared to high forest it is still questionable to value broader socio-economic effectiveness of coppice management embracing non-market environmental services.