Ecuador | Total natural resources rents (% of GDP)

Total natural resources rents are the sum of oil rents, natural gas rents, coal rents (hard and soft), mineral rents, and forest rents. 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 | Total natural resources rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
0.6032344 1970
0.72141959 1971
1.45422604 1972
3.78153861 1973
8.41494089 1974
6.53096627 1975
6.80686675 1976
4.91373418 1977
5.46280891 1978
11.97625156 1979
11.31519107 1980
7.98059065 1981
5.56219458 1982
9.31405507 1983
9.93016955 1984
10.01181021 1985
5.41787935 1986
6.09696282 1987
7.89874662 1988
10.08239549 1989
12.99156569 1990
7.24141252 1991
7.57641297 1992
6.94166998 1993
6.69476703 1994
7.81653811 1995
9.06384331 1996
7.15232503 1997
4.06421827 1998
8.23306097 1999
16.73243762 2000
9.40733648 2001
8.38814722 2002
8.74010783 2003
12.57263654 2004
16.84983806 2005
18.38941152 2006
16.90019203 2007
18.96187278 2008
9.26408284 2009
11.79073154 2010
16.57737601 2011
14.52651863 2012
12.88132534 2013
11.59035718 2014
4.63202398 2015
3.75806781 2016
4.98372023 2017
7.09642079 2018
5.82070105 2019
2.92430669 2020
6.6994372 2021
2022

Ecuador | Total natural resources rents (% of GDP)

Total natural resources rents are the sum of oil rents, natural gas rents, coal rents (hard and soft), mineral rents, and forest rents. 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