The characteristic that makes economic rent distinct from wages, interest, and profit is that it is
A) payment for a resource that is completely fixed in total supply.
B) always expressed in dollars, never in percent.
C) fixed by annual or monthly contracts.
D) makes the supply of the resource increase if its rent rises.

Question

Quizplus · Accepted Answer

Economic rent is payment for a resource that is completely fixed in total supply, meaning that its supply cannot be increased or decreased in response to changes in demand or price. In contrast, wages, interest, and profit are all influenced by market forces and are not completely fixed in total supply.

The Characteristic That Makes Economic Rent Distinct from Wages, Interest