Ecuador | 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
Republic of Ecuador
Records
63
Source
Ecuador | Forest rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.57589557
1971 0.68326515
1972 0.72550894
1973 0.96350599
1974 0.57852898
1975 0.67065517
1976 0.53540331
1977 0.58391586
1978 0.58192361
1979 0.85919753
1980 0.71301352
1981 0.53770588
1982 0.80901021
1983 0.63098234
1984 0.41708362
1985 0.45635874
1986 0.60052533
1987 0.85417178
1988 0.85555235
1989 0.97488013
1990 0.95875045
1991 0.79828978
1992 0.86644875
1993 0.39447864
1994 0.83335142
1995 1.18302244
1996 1.13724757
1997 0.94695458
1998 0.83647772
1999 0.34836635
2000 0.35376463
2001 0.29388107
2002 0.25001076
2003 0.2388452
2004 0.23023932
2005 0.2090523
2006 0.26395507
2007 0.29476877
2008 0.26751589
2009 0.27725722
2010 0.43634401
2011 0.35054591
2012 0.33449884
2013 0.37399305
2014 0.37584268
2015 0.35377722
2016 0.40465391
2017 0.37586458
2018 0.31899936
2019 0.27694762
2020 0.35287053
2021 0.2825837
2022

Ecuador | 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
Republic of Ecuador
Records
63
Source