The societal demands on forest management are becoming increasingly diverse, which will be reflected in decisions
made by forest owners. We examined the willingness of private forest owners in Austria, Finland, Germany, Slovenia, and Sweden to participate in a contract-based payment scheme in which they were asked to apply a specific management strategy to promote either timber production or environmental goals. The preferences for the contract-based management and associated consequences in terms of profitability, biodiversity, carbon stock, and climate change-induced damages were addressed within a choice experiment. A majority of respondents across all countries agreed to participate in a payment scheme to promote environmental goals, while schemes purely targeted to increase wood production were found less attractive. Forest owners liked improvements in profitability and environmental attributes and disliked deterioration of these attributes. Differences among countries were found in the level of expected contract payments, and commonalities were found with respect to preferences towards environmental goals, including biodiversity and carbon stocks. Hence, new policies to target European forest subsidy to promote the provision of environmental goals would likely be acceptable. Keywords: Choice experiment, Ecosystem services, Forest policy, Incentives, Private forest owners
