Using the statistical data about forestry input and out put during 1994-2007,this paper analyzes the relationship between input and output of forestry in china by the partial least squares regression method.

Therefore, the forestry funds investment behavior is the core content of the forestry households invest.

This article analyzes the basic situations of forestry investment capital source and utilization through inspecting the data about Liaoning province forestry investment during the years 1986-2005,in order to provide the related policy suggestion for improving forestry investment.

Taking Shandong province as researching sample,it summaries the proportion and its variety of different investment channel in agroforestry investment.

The paper makes an overview of the status of forest investment in China,pointing out that the most important issue of the forestry investment reform system at this stage is to continue to increase social welfare as- pects of forestry investments,and reduce the forestry industry as the nature of the involvement of investment ac- tivities,encourage social mobilization for multiple industries.