Question 30 of 38
Q.Quasi-rent arises in :
(a) Home-made items
(b) Imported items
(c) Man-made appliances
(d) None of these
Puducherry TnboardTamil Nadu HSC First Year (DGE) Commerce Board 2025MCQ· 1mImportance★★★★★
79% · 30/38 Questions
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Start your 14-day free trial to unlock the full solution →Quasi-rent arises on man-made appliances (machines, equipment) in the short run, so the answer is option (c).
Quasi-rent is a concept given by Alfred Marshall. It is the surplus income earned in the short run by factors of production whose supply is fixed temporarily — chiefly man-made appliances such as machines, equipment and buildings. Because their supply cannot be increased in the short period, they earn a rent-like surplus when demand for their services is high.
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