181:, since it generates from a situation where the resource owner has open access to the resource for free. In other words, the resource rent is the resource royalty or resource's net price (price received from selling the resource minus costs. In this case costs are zero). The resource rent therefore equals the
73:
in 1931, on the basis of his previous research on depreciation (see
Hotelling 1925), which invites us to consider with caution the application of Hotelling's rule to concrete natural resources, in particular
53:
that could be obtained while emptying the stock resource. In an efficient exploitation of a non-renewable and non-augmentable resource, the percentage change in net-price per unit of time should equal the
145:
78:(coal, oil, gas). Devarajan and Fisher note that a similar result was published by L. C. Gray in 1914, considering the case of a single mine owner.
30:
354:
Ferreira da Cunha, R. P.; Missemer, A. (2020). "The
Hotelling Rule in Non-Renewable Resource Economics: A Reassessment".
330:
244:
87:
395:
279:
256:
385:
356:
254:
Devarajan, S.; Fisher, A. C. (1981). "Hotelling's 'Economics of
Exhaustible Resources': Fifty Years Later".
301:
400:
81:
The simple rule can be expressed by the equilibrium situation representing the optimal solution.
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203:
38:
58:
in order to maximise the present value of the resource capital over the extraction period.
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8:
62:
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20:
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66:
186:
174:
379:
198:
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170:
50:
34:
182:
75:
235:
Mathematical
Bioeconomics: The Optimal Management of Renewable Resources
313:
291:
269:
365:
277:
Gray, L. C. (1914). "Rent under the
Assumption of Exhaustibility".
299:
Hotelling, H. (1931). "The
Economics of Exhaustible Resources".
353:
61:
This concept was the result of analysis of non-renewable
90:
232:
139:
239:(2nd ed.). New York: John Wiley & Sons.
377:
253:
140:{\displaystyle {\frac {P'(t)}{P(t)}}=\delta ,}
325:. Cambridge, MA: Harvard University Press.
323:Income, Wealth, and the Maximum Principle
298:
320:
33:as a function of time while maximizing
378:
230:
276:
41:. The maximum rent is also known as
13:
366:https://doi.org/10.1111/caje.12444
37:in the time of fully extracting a
14:
412:
347:
257:Journal of Economic Literature
122:
116:
108:
102:
39:non-renewable natural resource
1:
357:Canadian Journal of Economics
224:
166:and δ is the discount rate.
71:Journal of Political Economy
7:
192:
185:of the natural resource or
10:
417:
18:
340:
321:Weitzman, M. L. (2003).
19:Not to be confused with
396:Non-renewable resources
177:, often referred to as
141:
231:Clark, C. W. (1990).
204:Ricardian equivalence
142:
386:Eponyms in economics
88:
214:Faustmann's formula
69:, published in the
63:resource management
49:and is the maximum
401:Resource economics
302:J. Political Econ.
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126:
408:
370:
369:
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317:
295:
273:
250:
238:
146:
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138:
127:
125:
111:
101:
92:
67:Harold Hotelling
29:defines the net
27:Hotelling's rule
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376:
375:
374:
373:
352:
348:
343:
333:
280:Quart. J. Econ.
247:
227:
219:Hartwick's rule
209:Von Thünen rent
195:
187:natural capital
173:obtained is an
112:
94:
93:
91:
89:
86:
85:
24:
21:Hotelling's law
17:
16:Economic theory
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11:
5:
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403:
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388:
372:
371:
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331:
318:
308:(2): 137–175.
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286:(3): 466–489.
274:
251:
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226:
223:
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216:
211:
206:
201:
194:
191:
158:) is the unit
148:
147:
136:
133:
130:
124:
121:
118:
115:
110:
107:
104:
100:
97:
43:Hotelling rent
15:
9:
6:
4:
3:
2:
413:
402:
399:
397:
394:
392:
389:
387:
384:
383:
381:
367:
364:(2): 800-820
363:
359:
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350:
346:
334:
332:0-674-01044-2
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311:
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246:0-471-50883-7
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199:Economic rent
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190:
188:
184:
180:
179:resource rent
176:
175:abnormal rent
172:
171:economic rent
167:
165:
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157:
153:
134:
131:
128:
119:
113:
105:
98:
95:
84:
83:
82:
79:
77:
72:
68:
64:
59:
57:
56:discount rate
52:
48:
47:scarcity rent
44:
40:
36:
35:economic rent
32:
28:
22:
361:
355:
349:
322:
305:
300:
283:
278:
264:(1): 65–73.
261:
255:
234:
183:shadow value
168:
163:
155:
151:
149:
80:
76:fossil fuels
70:
60:
46:
42:
26:
25:
380:Categories
225:References
31:price path
132:δ
193:See also
162:at time
99:′
391:Renting
314:1822328
292:1884984
270:2724235
329:
312:
290:
268:
243:
160:profit
341:Notes
310:JSTOR
288:JSTOR
266:JSTOR
150:when
327:ISBN
241:ISBN
169:The
51:rent
65:by
45:or
382::
362:53
360:.
306:39
284:28
262:19
260:.
189:.
368:.
335:.
316:.
294:.
272:.
249:.
164:t
156:t
154:(
152:P
135:,
129:=
123:)
120:t
117:(
114:P
109:)
106:t
103:(
96:P
23:.
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