Economics
Student Videos
Transfer Earnings and Economic Rent (Labour Markets)
- Level:
- A Level, IB
- Board:
- AQA, Edexcel, OCR, IB, Eduqas, WJEC
Last updated 21 Mar 2021
Earnings to the factor of production labour are made up of wages plus overtime pay, bonuses and commission. This short revision video looks at the difference between transfer earnings and economic rent.
Transfer earnings
The minimum reward required to keep factors of production, such as labour, in its current occupation.
Economic rent
Any amount earned by a factor of production, such as labour, above the minimum amount they require to work in a current occupation.
You might also like
Why are footballers paid so much?
15th February 2018
Gender Pay Gap (Labour Markets)
Student Videos
EdExcel Theme 3 Micro Knowledge Book - Labour Markets
Quizzes & Activities
The Pay Penalty for Having Children
4th January 2017
Equilibrium Wages (Labour Markets)
Student Videos
Pay (Wage) Differentials - Causes (Labour Markets)
Student Videos
Wage Discrimination – Transgender and Caste Discrimination
5th August 2015
Recommended
Exam support for 2022
Online Grade Booster Courses for A-Level Exams in May & June 2022
Exam technique, advance information support, live revision and more from the tutor2u subject specialist teams