"Rent- seeking" is a problem of

Question

Quizplus · Accepted Answer

Rent-seeking is the problem of using one's resources to obtain an economic gain from others without reciprocating any benefits to society. Although it can occur in any economy, it is more prevalent in economies where the government plays a significant role in regulating markets and distributing resources. Rent-seeking activities are often initiated by influential groups seeking to gain an unfair advantage and can result in a misallocation of resources and a decrease in overall economic efficiency. Therefore, rent-seeking is a problem for all economies, because it encourages a culture of corruption and unfair competition, which undermines the principles of free-market economics.

"Rent- Seeking" Is a Problem of