4 ms·
One point Smith makes is that land rents tend to eat all other forms of revenue over time, since (a) the supply does not increase, (b) the use of land is necess
by solidsnack9000 8y ago
One point Smith makes is that land rents tend to eat all other forms of revenue over time, since (a) the supply does not increase, (b) the use of land is necessary for every enterprise and (c) over time all the land that can be put to some use is and then it's just about competition over it.
- dredmorbius 8y agoRents are defined as goods or services in which the seller captures not merely costs but consumer surplus.
- solidsnack9000 8y agoSmith talks about land specifically. Not sure where you're going here.
- dredmorbius 8y agoConsumer surplus is a modern definition. It follows from Smith, though somewhat indirectly. https://en.wikipedia.org/wiki/Economic_rent https://en.wikipedia.org/wiki/Economic_rent