Rent-seeking:
A) is desired by consumers.
B) is not a type of competition.
C) is a type of competition that leads to a market price and output.
D) is a type of competition that leads to an undesirable outcome.
E) occurs when resources are used to deregulate a market though the political process.

Question

Quizplus · Accepted Answer

Rent-seeking is a type of competition where firms or individuals use resources to achieve a transfer of value rather than creating any new benefits or wealth. It often leads to an undesirable outcome as it results in a waste of resources, higher prices, and reduced economic efficiency.

Rent-Seeking