I. INTRODUCTION The purpose of this essay is to survey the emerging theory of the rent-seeking society. The initial problem is to clarify terminology. Rent is a venerable concept in economics. Defined as a return in excess of a resource ownerâs opportunity cost, economic rent has played a prominent role in the history of economic analysis (âcorn is not high because rent is paid, rent is paid because corn is highâ). In this sense it is a fair guess that most economists would consider ârent seekingâ to be equivalent to âprofit seekingâ, whereby it is meant that the expectation of excess returns motivates valueincreasing activities in the economy. Such excess returns (positive and negative) are typically viewed as short-lived (quasi-rents) because competition will drive them to normal levels. The competitive dissipation of rents, however, is not what is meant by ârent seekingâ. Rents emanate from two sources. They arise naturally in the price system by, for example, shifts in demand and supply curves. The pursuit of rents under these circumstances is the sense in which rent seeking is equivalent to profit seeking. Rents can also be contrived artificially through, for example, government action. The fact that rents are
Kyklos International Review of Social Sciences – Wiley
Published: Nov 1, 1982
It’s your single place to instantly
discover and read the research
that matters to you.
Enjoy affordable access to
over 18 million articles from more than
15,000 peer-reviewed journals.
All for just $49/month
Query the DeepDyve database, plus search all of PubMed and Google Scholar seamlessly
Save any article or search result from DeepDyve, PubMed, and Google Scholar... all in one place.
Get unlimited, online access to over 18 million full-text articles from more than 15,000 scientific journals.
Read from thousands of the leading scholarly journals from SpringerNature, Wiley-Blackwell, Oxford University Press and more.
All the latest content is available, no embargo periods.
“Hi guys, I cannot tell you how much I love this resource. Incredible. I really believe you've hit the nail on the head with this site in regards to solving the research-purchase issue.”Daniel C.
“Whoa! It’s like Spotify but for academic articles.”@Phil_Robichaud
“I must say, @deepdyve is a fabulous solution to the independent researcher's problem of #access to #information.”@deepthiw
“My last article couldn't be possible without the platform @deepdyve that makes journal papers cheaper.”@JoseServera