Which of the following is true about land rent?
A) It is the difference between the payment for using land in production and the cost of such use.
B) When the supply curve of land is horizontal, the position of the demand determines rent.
C) It is a cost to landowners who rent the use of land.
D) When the supply curve of land is vertical, the supply curve determines rent.
E) When the supply curve of land is downward sloping, both the demand and supply curves determine rent.
Correct Answer:
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