Peru - Forest rents (% of GDP)

Forest rents (% of GDP) in Peru was 0.120 as of 2019. Its highest value over the past 49 years was 0.818 in 1982, while its lowest value was 0.120 in 2019.

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 0.254
1971 0.237
1972 0.257
1973 0.350
1974 0.308
1975 0.376
1976 0.449
1977 0.580
1978 0.703
1979 0.781
1980 0.791
1981 0.533
1982 0.818
1983 0.512
1984 0.297
1985 0.281
1986 0.377
1987 0.314
1988 0.367
1989 0.236
1990 0.372
1991 0.312
1992 0.307
1993 0.326
1994 0.283
1995 0.281
1996 0.225
1997 0.234
1998 0.250
1999 0.231
2000 0.206
2001 0.193
2002 0.186
2003 0.174
2004 0.170
2005 0.157
2006 0.199
2007 0.204
2008 0.182
2009 0.154
2010 0.232
2011 0.182
2012 0.159
2013 0.170
2014 0.216
2015 0.183
2016 0.224
2017 0.178
2018 0.128
2019 0.120

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