Question
Any factor of production can earn economic-rent, when its supply will be
Answer: Option C
Answer: (c)
Economic rent is the revenue that can be earned from the land or other natural resource for which there is a fixed supply — as economists like to say, the supply is perfectly inelastic.
Because the supply is perfectly inelastic, the amount of its supply does not depend on any income that the resource can produce.
Was this answer helpful ?
Answer: (c)
Economic rent is the revenue that can be earned from the land or other natural resource for which there is a fixed supply — as economists like to say, the supply is perfectly inelastic.
Because the supply is perfectly inelastic, the amount of its supply does not depend on any income that the resource can produce.
Was this answer helpful ?
More Questions on This Topic :
Question 1. The problem of Economics arises from
....
Question 2. Demand in Economics means :....
Question 6. Kinked demand curve is a feature of....
Question 9. The market price is related to :
....
Latest Videos
Latest Test Papers
Submit Solution