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Fixed logging costs and administrative constraints on logging regulations can create nonconvexities in forestry production sets that include timber and nontimber products. Managing forests to produce multiple values at a landscape level, through the aggregation of stands that are completely or partially specialized in the production of timber or nontimber products, can consequently be superior to management systems that treat all stands uniformly, even when all stands are identical. Both fixed costs and administrative constraints are empirically important sources of nonconvexity in tropical rainforests. The former is more important when the nontimber product is carbon sequestration, while the latter is more important when the nontimber product is biodiversity protection. Uniform management appears to be superior for the joint production of timber and carbon sequestration, while specialized management might often be superior for the joint production of timber and biodiversity, at least at low discount rates.

Exogenous price changes affect the amount that a small country exporting natural resource commodities must invest to sustain its consumption level. The necessary amount is given by the difference between Hotelling rent and the discounted sum of future terms-of-trade effects (capital gains). The latter term is found to be large relative to the former in the case of petroleum depletion in Indonesia. This suggests that resource-rich countries will need to invest more than previously expected to sustain their consumption levels, if natural resource prices continue their long-term historical decline.