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Types of Rent

Contract Rent:
Contract Rent:

Definition of contract rent: Contract rent is the dollar amount of the rental obligation specified in the lease. Also called Face Rent. Definition of contract rent: Contract rent is the dollar amount of the rental obligation specified in the lease.

Differential Rent:
Differential Rent:

Differential rent and rent relations persist under socialism. The material basis of differential rent is the supplementary net income from comparatively superior and conveniently located lands or from the increased productivity of supplementary investments.

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Economic Rent
Economic Rent

Economic rent is an excess payment made to or for a factor of production over the amount required by the property owner to proceed with the deal. This often occurs when a buyer, working to attain a good or service that is considered exclusive, makes an offer prior to hearing what a seller considers an acceptable price.

Gross Rent: ADVERTISEMENTS:
Gross Rent: ADVERTISEMENTS:

“Gross rent” is the total rent amount(s) paid. “Net rent” is that amount less any or all of the expenses required to operate the property. It can also mean the rent paid after concessions or discounts are applied.

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Scarcity Rent
Scarcity Rent

For most other production, including agriculture and extraction, economic rent is due to a scarcity (uneven distribution) of natural resources (e.g., land, oil, or minerals). When economic rent is privatized, the recipient of economic rent is referred to as a rentier.

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