Scarcity rents.
David Ricardo
(1772-1823)
Image courtesy of the
Warren J. Samuels
Portrait Collection at
Duke University.
Alfred
Marshall
(1842-1924)
Economic rent.
Payments made to a factor that are in
excess of what is required to elicit the
supply of that factor.
•
Greater than the opportunity cost.
Quasirents.
Payments made to a factor that are in
excess of what is required to elicit the
supply of that factor
in the short run.
•
Can be bid away in the long run.
