Economic Budgeting for Agroforestry Practices
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Evaluation of the economic aspects of agroforestry provides a basis for estimating financial needs and feasibility, highlights trade-offs between multiple benefits, and monitors economic efficiency. The main technique used in economic analysis is budgeting. Economic budgeting is a very flexible process. However, effective application of budgets requires an understanding of the commodity, practice, or system to which it is being applied. Agroforestry poses some unique economic budgeting problems because it involves multiple enterprises with varying production cycles, such as trees, row crops, forages, and/or livestock.
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