REASONS FOR MAINTAINING STATE FORESTS. 65 



not coincide with those of the commnnit}^ as a whole. The 

 former centre in the realisation of the greatest profit, which 

 may demand the production of only small material, or even 

 the actual devastation of the forest, whenever the capital 

 represented by tlie growing stock and the soil can be more 

 profitably utilized in other ways. 



The State, on the other hand, is more interested in the 

 realisation of a sustained yield, so as to provide for the 

 requirements of the nation, especially as regards timber of 

 large size. The latter, it is said, leads generally to unfavour- 

 able financial results. This is, no doubt, true in many cases, 

 but not in all, or for ever ; large sized timber, required for 

 special purposes, may rise in price sufficiently to make its 

 production financially remunerative. 



In State forestry, it is said, the interests of the proprietor 

 and of the community as a whole are brought into harmony, 

 even if the management yields only a low rate of interest on 

 the capital value of the forests. The State is assumed to last 

 for ever, and the outlay on formation, regeneration and tending 

 of the forests will be reimbursed, even if after a considerable 

 space of time. Moreover, the State should not look merely at 

 a high rate of interest, because it is also interested in the 

 production of a sufficient quantity of produce, or in obtaining 

 it from the smallest possible area, so that the remaining, and 

 better, part of the land may be available for other purposes ; 

 any financial loss caused thereby, it is argued, is merely 

 apparent, since the outlay goes to the people in the shape of 

 wages, and the apparent loss is more than made good by the 

 flourishing of industries which produce a high taxing capacity 

 of the people. The latter argument is, however, unsound; 

 industries to be in a healthy condition must be conducted 

 on financial principles ; though temporary help may be wanted 

 for young industries, when once started they must stand or 

 fall on their own merits. 



A further argument under this head is that forestry can be 

 profitable only if conducted on large areas ; hence it requires 



M.F. ^ 



