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Economic rent is the amount above the COSTs, not the just above a competitive market, unless you're considering that all competitive markets drive profits to ze
by skilesare 12y ago
Economic rent is the amount above the COSTs, not the just above a competitive market, unless you're considering that all competitive markets drive profits to zero. (Which a lot of people argue is one issue with perfect markets)
It turns out, that they're both immoral and awesome. we have to find a way to have our cake and eat it too.
-@hypercapital
- jjoonathan 12y agoCompetitive markets drive profits to 0, and then the only people who are making profits are behemoth rent-seekers in the exceptional markets. Yaay.