Q.Who propounded the dynamic profit theory?

The dynamic profit theory was propounded by J. B. Clark — option (a).

Among the theories of profit studied in distribution analysis:

• Dynamic theory of profit — J. B. Clark: profit arises because the economy is dynamic and constantly changing (in population, capital, technology, wants and production techniques). In a hypothetical static economy profit would disappear; it is change that generates profit.
• Innovation theory — Schumpeter: profit is the reward for successful innovation (new products, methods, markets).
• Risk theory — F. B. Hawley: profit is the reward for bearing the risks of business. …