Since the results presented in annex II show very minimal transfer effects on most activities in the United Republic of Tanzania, the rest of the analysis will concentrate on the open and dosed-loop effects. A logical question would then be: "What is the value added by deconstructing the multipliers into open and dosed-loop effects?" Value is added because an understanding of the relative strengths of the two sources of impact helps answer the following policy-relevant question: “Which particular activities - both direct and indirect - will help uplift the welfare of the rural poor, and should forest policy encourage investments that enhance the operation of the direct effect or the indirect effect?"