Income in the U.S.economy consists of
A) wages and benefits paid to laborers.
B) wages and benefits paid to laborers and profits to businesses.
C) profits to businesses,interest to capital lenders,and rent to landowners.
D) rent to landowners and profits to businesses.
E) wages and benefits to laborers,and profits to businesses.

Question

Quizplus · Accepted Answer

Income in the U.S. economy consists of profits to businesses, interest to capital lenders, and rent to landowners. This is based on the theory of factor payments, which states that income is distributed to the factors of production (land, labor, and capital) in the form of rent, wages, and interest/profits.

Income in the U.S.economy Consists of