China | Mineral rents (% of GDP)

Mineral rents are the difference between the value of production for a stock of minerals at world prices and their total costs of production. Minerals included in the calculation are tin, gold, lead, zinc, iron, copper, nickel, silver, bauxite, and phosphate. 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
People's Republic of China
Records
63
Source
China | Mineral rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.19031195
1971 0.14243208
1972 0.11191204
1973 0.17516023
1974 0.31941707
1975 0.22050059
1976 0.42131981
1977 0.42354065
1978 0.28054456
1979 0.35406817
1980 0.40461639
1981 0.53247814
1982 0.46509763
1983 0.4079388
1984 0.28760738
1985 0.25401335
1986 0.1750615
1987 0.25869373
1988 1.11136889
1989 0.39510347
1990 0.37686456
1991 0.74289248
1992 0.68941917
1993 0.52371311
1994 0.44456883
1995 0.31794409
1996 0.23879208
1997 0.23416085
1998 0.43814865
1999 0.33701107
2000 0.14306512
2001 0.12486206
2002 0.12780684
2003 0.13730192
2004 0.26303404
2005 0.71938229
2006 1.1711295
2007 2.15745854
2008 2.36221059
2009 0.99636293
2010 2.02001128
2011 2.3328621
2012 0.78371537
2013 0.60428376
2014 0.35882213
2015 0.20334538
2016 0.18515515
2017 0.23589038
2018 0.17892179
2019 0.2723133
2020 0.16834919
2021 0.51004925
2022

China | Mineral rents (% of GDP)

Mineral rents are the difference between the value of production for a stock of minerals at world prices and their total costs of production. Minerals included in the calculation are tin, gold, lead, zinc, iron, copper, nickel, silver, bauxite, and phosphate. 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
People's Republic of China
Records
63
Source