Argentina - Natural gas rents (% of GDP)

Natural gas rents (% of GDP) in Argentina was 0.345 as of 2019. Its highest value over the past 49 years was 0.726 in 2002, while its lowest value was 0.012 in 1973.

Definition: Natural gas rents are the difference between the value of natural gas production at world prices and total costs of production.

Source: Estimates based on sources and methods described in "The Changing Wealth of Nations: Measuring Sustainable Development in the New Millennium" (World Bank, 2011).

See also:

Year Value
1970 0.017
1971 0.021
1972 0.015
1973 0.012
1974 0.020
1975 0.064
1976 0.054
1977 0.020
1978 0.025
1979 0.083
1980 0.162
1981 0.157
1982 0.072
1983 0.174
1984 0.217
1985 0.203
1986 0.162
1987 0.113
1988 0.121
1989 0.287
1990 0.161
1991 0.130
1992 0.095
1993 0.112
1994 0.090
1995 0.101
1996 0.121
1997 0.125
1998 0.112
1999 0.162
2000 0.259
2001 0.281
2002 0.726
2003 0.623
2004 0.558
2005 0.612
2006 0.657
2007 0.545
2008 0.495
2009 0.540
2010 0.351
2011 0.419
2012 0.454
2013 0.443
2014 0.340
2015 0.193
2016 0.138
2017 0.174
2018 0.379
2019 0.345

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.

Limitations and Exceptions: This definition of economic rent differs from that used in the System of National Accounts, where rents are a form of property income, consisting of payments to landowners by a tenant for the use of the land or payments to the owners of subsoil assets by institutional units permitting them to extract subsoil deposits.

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 world price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs (including a normal return on capital). 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).

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Environment Indicators

Sub-Topic: Natural resources contribution to GDP