economic rent

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Related to Scarcity rent: Rent seeking

economic rent

n.
See rent1.

economic rent

n
1. (Economics) economics a payment to a factor of production (land, labour, or capital) in excess of that needed to keep it in its present use
2. (Law) (in Britain) the rent of a dwelling based on recouping the costs of providing it plus a profit sufficient to motivate the landlord to let it

ec′onom′ic rent′


n.
the return on a productive resource, as land or labor, that is greater than the amount necessary to keep the resource producing.
[1885–90]
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.economic rent - the return derived from cultivated land in excess of that derived from the poorest land cultivated under similar conditions
proceeds, take, takings, yield, payoff, issue, return - the income or profit arising from such transactions as the sale of land or other property; "the average return was about 5%"
References in periodicals archive ?
Scarcity Rent (SR)--accounting for the additional costs of extracting an absolutely scarce resource (11)
A water-scarcity rent is the difference between the equilibrium price of water and the cost of extraction, and this is an implicit scarcity rent if no market exists to create the price signal (Moncur and Pollack, 1988).
This scarcity rent is the value of Z' permits, area 2 + 3 in Figure 1.
Scarcity rent is what landlords--or any owners of highly demanded things whose supply is fairly fixed--get to collect from other people just because of scarcity.
27) In this case, the scarcity rent is simply the normal return to the scarce asset, and there is no efficiency loss to monopoly.
According to (6), the marginal utility (or equivalently, the competitive price) of the resource should at any time cover its full social marginal cost which consists of the marginal extraction cost, the scarcity rent, and the shadow extemality cost of an additional unit of carbon added to the existing aggregate stock of carbon.
But the operation of the resource constraint may be masked by the fact, indicated by (1), (2) and (3), that resource scarcity is a phenomenon involving Ricardian differential rents; the firm determines the cut-off grade such that at the margin there is no scarcity rent apparent.
The scarcity rent is the amount that others would be willing to pay for the water if they had the opportunity.
The cost of corruption has been particularly high in India and Indonesia, where policies created monopolies that earned scarcity rents, which were then allocated to officials' family members.
Spectrum scarcity meant that markets were not perfectly competitive, and broadcasters could earn scarcity rents.
2) What mattered was whether policies created scarcity rents and whether the government received the rents and used them to lower other distortionary taxes.