If the MRP of an acre of land were $1,000 and its rent were $500,

Name: If the MRP of an acre of land were $1,000 and its rent were $500,
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The rent of the land is only half of the MRP ($500/$1000). This suggests that the land is being underutilized - in other words, not enough land is being used. If the rent was equal to the MRP, it would indicate that the land is being used optimally, and if the rent was greater than the MRP, it would suggest that too much land is being used.

If the MRP of an Acre of Land Were $1,000