Suppose that if Madison Bumgarner, the major league baseball player, weren't playing baseball he would be coaching a college baseball team. It follows that

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Economic rent is the difference between the actual payment made to a factor of production, in this case Madison Bumgarner as a baseball player, and the minimum payment required to obtain that service, in this case Bumgarner as a college baseball coach. If Bumgarner's salary as a baseball player is greater than his potential salary as a college coach, then he is earning economic rent. Therefore, option A is the correct choice. Option B is incorrect because it states that Bumgarner earns pure economic rent as a baseball player, without considering the possibility of him earning economic rent as a coach. Option C is incorrect for the same reason. Option D is incorrect because it assumes that Bumgarner's value as a baseball player should only be measured by his potential value as a college coach, which is not a fair comparison.

Suppose That If Madison Bumgarner, the Major League Baseball Player