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Problem

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question

What will happen to transfer earnings and economic rent if landhas only a single use?

category

economics

options

  1. The price of the land is entirely made up of transfer earnings.
  2. Economic rent remains constant while transfer earnings fluctuate with market demands.
  3. Transfer earnings are zero and the price of the land is entirely made up of economic rent.
  4. Both transfer earnings and economic rent increase proportionally.
  5. Transfer earnings and economic rent vary inversely; as one increases, the other decreases.
  6. Transfer earnings decrease and economic rent increases.
  7. Both transfer earnings and economic rent are zero.
  8. Transfer earnings increase and economic rent decreases.
  9. Economic rent increases to the point where it constitutes the majority, but not all, of the land price, with the remainder being transfer earnings.
  10. Transfer earnings are constant, and economic rent decreases to zero.

src

stemez-Economics

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