Mexico - Forest rents (% of GDP)

Forest rents (% of GDP) in Mexico was 0.103 as of 2019. Its highest value over the past 49 years was 0.443 in 1977, while its lowest value was 0.056 in 2005.

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 0.352
1971 0.286
1972 0.281
1973 0.376
1974 0.356
1975 0.350
1976 0.268
1977 0.443
1978 0.343
1979 0.295
1980 0.236
1981 0.166
1982 0.441
1983 0.239
1984 0.154
1985 0.082
1986 0.123
1987 0.126
1988 0.122
1989 0.106
1990 0.218
1991 0.186
1992 0.148
1993 0.093
1994 0.095
1995 0.182
1996 0.128
1997 0.131
1998 0.112
1999 0.094
2000 0.068
2001 0.065
2002 0.065
2003 0.068
2004 0.063
2005 0.056
2006 0.068
2007 0.067
2008 0.069
2009 0.075
2010 0.132
2011 0.101
2012 0.098
2013 0.110
2014 0.144
2015 0.128
2016 0.184
2017 0.168
2018 0.116
2019 0.103

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