1. Economic rent is the rent earned by the natural resources or free goods. Whereas quasi rent
is earned by the man made articles.
2. Economic rent is permanent- exists during short and long periods. Whereas the quasi rent
is a short run phenomena.
3. Economic rent is a part of the price, whereas the quasi rent cannot entire into the cost of
production.
4. Economic rent never go zero whereas the quasi rent can be zero(WHEN PRICE = AVC).
5. Economic rent is over and above the transfer earnings whereas the quasi rent is over and
above the total variable cost.
6. Economic rent = actual remuneration of a factor - its transfer earnings. Whereas
quasi rent = short run total revenue - short-run total variable cost.
is earned by the man made articles.
2. Economic rent is permanent- exists during short and long periods. Whereas the quasi rent
is a short run phenomena.
3. Economic rent is a part of the price, whereas the quasi rent cannot entire into the cost of
production.
4. Economic rent never go zero whereas the quasi rent can be zero(WHEN PRICE = AVC).
5. Economic rent is over and above the transfer earnings whereas the quasi rent is over and
above the total variable cost.
6. Economic rent = actual remuneration of a factor - its transfer earnings. Whereas
quasi rent = short run total revenue - short-run total variable cost.
