Tonga | 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
Kingdom of Tonga
Records
63
Source
Tonga | Forest rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970
1971
1972
1973
1974
1975 0.04033403
1976 0.04700367
1977 0.05830366
1978 0.03864572
1979 0.05098039
1980 0.04805888
1981 0.02481556
1982 0.40382441
1983 0.15918984
1984 0.10955113
1985 0.20060205
1986 0.20247756
1987 0.18237838
1988 0.13667227
1989 0.1509676
1990 0.07908211
1991 0.07094106
1992 0.07387484
1993 0.07830178
1994 0.05838994
1995 0.06630627
1996 0.06356894
1997 0.04874773
1998 0.05479136
1999 0.02941836
2000 0.02800071
2001 0.03348363
2002 0.03566247
2003 0.04167323
2004 0.03140376
2005 0.02401563
2006 0.03656127
2007 0.04816073
2008 0.05562922
2009 0.05494
2010 0.04850794
2011 0.04784196
2012 0.03986836
2013 0.04011888
2014 0.0521558
2015 0.042139
2016 0.04538615
2017 0.05409044
2018 0.03995759
2019 0.03555397
2020 0.03904407
2021 0.04075247
2022

Tonga | 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
Kingdom of Tonga
Records
63
Source