Iran - Forest rents (% of GDP)

Forest rents (% of GDP) in Iran was 0.007 as of 2018. Its highest value over the past 48 years was 0.961 in 1971, while its lowest value was 0.004 in 2016.

Definition: Forest rents are roundwood harvest times the product of average prices and a region-specific rental rate.

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 0.396
1971 0.961
1972 0.310
1973 0.175
1974 0.104
1975 0.218
1976 0.080
1977 0.126
1978 0.129
1979 0.157
1980 0.155
1981 0.109
1982 0.102
1983 0.078
1984 0.059
1985 0.052
1986 0.058
1987 0.096
1988 0.021
1989 0.027
1990 0.024
1993 0.099
1994 0.029
1995 0.035
1996 0.035
1997 0.042
1998 0.037
1999 0.069
2000 0.029
2001 0.042
2002 0.022
2003 0.023
2004 0.010
2005 0.008
2006 0.009
2007 0.008
2008 0.012
2009 0.012
2010 0.012
2011 0.009
2012 0.010
2013 0.014
2014 0.016
2015 0.009
2016 0.004
2017 0.007
2018 0.007

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