Resource Rent
In economics, rent is a surplus value after all costs and normal returns have been accounted for, i.e. the difference between the price at which an output from a resource can be sold and its respective extraction and production costs, including normal return. This concept is usually termed economic rent but when referring to rent in natural resources such as coastal space or minerals, it is commonly called resource rent. It can also be conceptualised as abnormal or supernormal profit.
In practice, identifying and measuring (or collecting) resource rent is not straightforward. At any point in time, rent depends on the availability of information, market conditions, technology and the system of property rights used to govern access to and management of resources.
Read more about Resource Rent: Categories of Rent
Famous quotes containing the words resource and/or rent:
“In a world which furnishes so many employments which are useful, and so many which are amusing, it is our own fault if we ever know what ennui [boredom] is, or if we are ever driven to the miserable resource of gaming, which corrupts our dispositions, and teaches us a habit of hostility against all mankind.”
—Thomas Jefferson (1743–1826)
“I have been breaking silence these twenty-three years and have hardly made a rent in it.”
—Henry David Thoreau (1817–1862)