An individual would willingly give a concert for $2,000. If she is paid $5,000 for the concert, she is
A) receiving $3,000 to cover her opportunity cost.
B) not being paid her full opportunity cost.
C) receiving $3,000 of economic rent.
D) certainly being paid more than warranted by the level of demand.
Correct Answer:
Verified
Q1: Economic rent applies to
A) land only and
Q3: For an individual such as a movie
Q4: For an individual who has special talent
Q4: Economic rent is any payment
A) received by
Q6: Economic rent is defined as
A) any payment
Q7: Ricardo's assumption for economic rents for land
Q8: Economic rent is a concept that can
Q9: Pure economic rent is a payment to
Q9: According to Ricardo's explanation of land rent,
Q12: World-class models receive significant economic rents because
A)
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