Low & middle income | 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
Low & middle income
Records
63
Source
Low & middle income | Forest rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.97395552
1971 0.92839868
1972 1.0665837
1973 1.63610477
1974 1.27494957
1975 1.38937421
1976 1.31567965
1977 1.73106806
1978 1.62841365
1979 1.61986157
1980 1.57489813
1981 1.09895495
1982 1.49437266
1983 1.13545854
1984 0.88168725
1985 0.75769365
1986 1.0445742
1987 1.10101499
1988 0.87145176
1989 0.9027043
1990 0.85610725
1991 0.91562246
1992 1.10715746
1993 0.96832979
1994 0.91633767
1995 1.09146881
1996 0.9834154
1997 0.84447544
1998 0.82410492
1999 0.59147626
2000 0.53234862
2001 0.51753576
2002 0.56982843
2003 0.70522128
2004 0.5102621
2005 0.45787722
2006 0.45693743
2007 0.51332929
2008 0.52433098
2009 0.49899448
2010 0.46341342
2011 0.42838168
2012 0.42176504
2013 0.41408646
2014 0.4545622
2015 0.4365388
2016 0.45917572
2017 0.4511837
2018 0.3599285
2019 0.327012
2020 0.36303043
2021 0.30718913
2022

Low & middle income | 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
Low & middle income
Records
63
Source