Arab World | Forest rents (% of GDP)

Forest rents are roundwood harvest times the product of regional prices and a regional rental rate. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
Arab World
Records
63
Source
Arab World | Forest rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.21769205
1971 0.18838178
1972 0.16591036
1973 0.18553675
1974 0.11282806
1975 0.12002584
1976 0.07836382
1977 0.11694589
1978 0.12603494
1979 0.0875387
1980 0.07732903
1981 0.07233722
1982 0.15510848
1983 0.11336875
1984 0.11036405
1985 0.05361709
1986 0.12459365
1987 0.11711653
1988 0.12414658
1989 0.12014284
1990 0.08663478
1991 0.09916186
1992 0.08557009
1993 0.06524198
1994 0.06420015
1995 0.08893546
1996 0.08472539
1997 0.07685209
1998 0.11045909
1999 0.05472552
2000 0.03900025
2001 0.04653359
2002 0.04965526
2003 0.06216476
2004 0.04891227
2005 0.03948222
2006 0.04039994
2007 0.03435476
2008 0.04583629
2009 0.05117101
2010 0.05029987
2011 0.08429116
2012 0.09118998
2013 0.11940246
2014 0.15107797
2015 0.17197225
2016 0.16540743
2017 0.17638541
2018 0.10147125
2019 0.1109614
2020 0.12559898
2021 0.11553239
2022

Arab World | Forest rents (% of GDP)

Forest rents are roundwood harvest times the product of regional prices and a regional rental rate. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
Arab World
Records
63
Source