Indonesia | 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 Indonesia
Records
63
Source
Indonesia | Forest rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 2.998059
1971 2.63410413
1972 3.29941924
1973 5.76446467
1974 3.19431833
1975 2.59465283
1976 2.53874064
1977 2.6789964
1978 2.10991524
1979 2.96627118
1980 2.46695401
1981 1.22068936
1982 1.24777443
1983 1.40923509
1984 0.96796623
1985 0.88560858
1986 1.39769612
1987 1.70826142
1988 1.53496963
1989 1.49689075
1990 1.19185597
1991 1.22743979
1992 1.31762726
1993 1.05404766
1994 1.02732894
1995 1.14651108
1996 1.06413663
1997 0.90878729
1998 1.98084523
1999 1.02180591
2000 0.81078502
2001 0.84782336
2002 0.81666202
2003 0.89333495
2004 0.61386472
2005 0.55882549
2006 0.55089711
2007 0.63034783
2008 0.76163903
2009 0.56787989
2010 0.46189259
2011 0.44167956
2012 0.43424763
2013 0.4843779
2014 0.60349955
2015 0.47395593
2016 0.42473921
2017 0.49902796
2018 0.48797016
2019 0.42936957
2020 0.4606027
2021 0.41753138
2022

Indonesia | 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 Indonesia
Records
63
Source