Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Economic Rent
- Economic rent is difference between what firms are willing to pay for the input less the minimum amount required to obtain it.
* An Example
- There are two firms A & B
- Both are having their own land
- A is located on the river which lowers A's shipping cost by $10,000 as compared to B - The demand for A's river location will increase price of A's land to $10,000
- Economic rent = $10,000
- Economic rent increases
- Economic profit of A = 0
Firms Earn Zero Profit in Long-Run Equilibrium * With the fixed input such as a unique location, difference between cost of production (LAC = 7) and price ($10) is value or opportunity cost of the input and represents economic rent from the input.
* If opportunity cost of input (rent) is not taken into consideration it may appear that the economic profits exist in long run.
An economist's view of costs contains both explicit and implicit costs. Explicit costs are accounting costs, and implicit costs are the opportunity costs of an allocation of resou
Illustrate the roles of mathematics in modern economics? Roles of Mathematics in Modern Economics: Mathematics has become a significant tool into modern economics. Mostly
Factors Shifting Demand Curve: Factors Changing Demand Effect on Demand Direction of Shift in Demand Curve Ef
what is theory of product pricing?
Unions are Organizations of working people which aim to bargain collectively with employers in order to improve workers' bargaining power, regulate working conditions and raise wag
given short run total cost curve :10q^2+4q=100 and short run marginal cost MC=20q+4 and market demand Q=100-p what''s the equation of the short run supply curve?
What is the difference between houehold and consumers?
MRP Technique- Sectoral Distribution of Targeted Increase in GDP There are two ways of increasing the GDP: (i) Project and accomplish the growth in various sectors through
Analyse the strengths and weaknesses of GDP as a measurement. Answer Strengths of GDP as a measurement 1) It helps in making international comparison among different
given that a=(4;2) and b=(5;11)determine the value of x in the following equation b=3x-1/2a
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd