Latin America & Caribbean | 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
Latin America & Caribbean
Records
63
Source
Latin America & Caribbean | Total natural resources rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 2.8350129
1971 2.60525901
1972 2.49548566
1973 3.59457797
1974 9.39942774
1975 7.21683108
1976 7.29741008
1977 6.2265527
1978 5.86881626
1979 12.26430341
1980 11.86798062
1981 8.75377239
1982 7.03289572
1983 8.25952142
1984 7.92082585
1985 7.38579985
1986 3.8451955
1987 5.72855168
1988 5.03176091
1989 5.09409291
1990 5.55949476
1991 3.31923018
1992 3.18283072
1993 2.58827592
1994 2.31756865
1995 2.71612187
1996 3.02491967
1997 2.58830082
1998 1.58671623
1999 2.56647457
2000 3.85036971
2001 3.08004289
2002 3.58071626
2003 3.90201355
2004 4.81442749
2005 6.13890369
2006 7.05985614
2007 6.71461253
2008 7.28435149
2009 4.04366558
2010 5.20014826
2011 6.77787479
2012 6.02555667
2013 5.44521455
2014 4.64974321
2015 2.28678936
2016 2.17879432
2017 2.61714501
2018 3.34772894
2019 2.61731153
2020 2.44153835
2021 6.12944035
2022

Latin America & Caribbean | 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
Latin America & Caribbean
Records
63
Source