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This paper investigates the impact of including the risk of fire in an optimal tree harvesting model at the stand level … different assumptions about hedging the risk of fire. The assumption that fire risk is fully diversifiable is contrasted with … the assumption that it can be hedged with another asset. It is conjectured that the risk-neutral probability of fire …
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(IMT). The aim of the research was to increase understanding of decision processes potentially related to IMT effectiveness …; and providing decision support to IMTs …
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