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Abstract

The study presents an estimation on the extent to which one additional unit of roundwood supply generates taxes and social insurance contribution. The additional tax revenues are allocated to the three regional authorities: federation, federal states and communities, according to the existing laws. One unit roundwood supply corresponds to forestry output in the amount of 1 million EUR. The fiscal effects account for 1.43 million EUR taking in account only the direct effects and 4.01 million EUR accounting for both the direct and indirect effects (tab. 1). More than two third are allotted to the federation level. In a subsequent step, these fiscal effects are compared to other state aid options outside forestry (fig. 1). The fiscal effects of all analysed options range in the same order of magnitude. Therefore, public funding of wood supply neither outperforms the analysed non-forestry options nor is it beaten by those.

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