334 PRIVATE FORESTRY IN FRANCE 



done away with unless there were laws against deforestation, or unless 

 the State subsidized forest property. 



(2) The kind of forestry on private land that is forced by mandatory 

 legislation will not result in real timber production; -^ it will entail a 

 waste in the use of forest soils. 



(3) Private forests maintained solely for revenue cannot afford to 

 produce the high-grade timber always required by certain industries. 



(4) The private forests of France rarely yield over 4 per cent as a 

 permanent, investment in timber production on the capitalized value of 

 the soil and growing stock. Exceptions occur when cheap soil, such as 

 sand wastes, can be cheaply stocked and where in addition taxes may 

 be reduced by State laws and the owner subsidized. But the risk is 

 apt to be correspondingly greater. 



(5) The risk from windfall, insects, fungus, fire, and changes in the 

 wood market is considerable. An investment in a private forest cannot 

 be considered as safe as many bonds that now yield 7 per cent or more 

 semi-annually. 



(6) During eras of high prices the private forest capital or growing 

 stock is usually greatly reduced because of the opportunities to realize 

 at a profit. This puts a premium on public ownership because the State 

 can then supply the demand for raw material from its reserves. 



(7) The best managed private forests are usually owned by the rich 

 or by the nobles and are not maintained alone for the money they return, 

 but for the dignity, pleasure, or indirect benefits which they yield. The 

 farm woodlot is an indispensable part of a nation's economic forest 

 wealth, and in France has been wretchedly managed through lack of 

 free technical advice and propaganda. The small owner is apt to use 

 too short rotations and to allow his forest to depreciate in value and 

 quality. 



(8) The ownership by the public should be increased by purchase 

 from owners who are no longer able to maintain their forests properly, 

 and in addition the private owner should be assisted financially and 

 technically and should be given adequate protection from trespass and 

 fire. 



(9) Most of the high-investment returns from forest properties are 

 really due to speculative increases in local values ; the advantage of these 

 high prices largely disappears when the property is held as a permanent 

 investment because the soil values and growing stock values increase 

 proportionately. The high profits from buying and then selling at higher 

 prices should not be confused with the business of permanent forest 

 production. 



21 The timber-culture act in the United States certainly never resulted in forests. 



