If the payment to an input is pure economic rent, then reducing that payment will

Name: If the payment to an input is pure economic rent, then reducing that payment will
Brand: Quizplus
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Quizplus · Accepted Answer

Pure economic rent is the payment to an input that is over and above what is necessary to bring that input into production. Therefore, reducing the payment that constitutes pure economic rent does not affect the availability of the input, as it would still be supplied at the lower price.

If the Payment to an Input Is Pure Economic Rent