Nick’s salary is pure economic rent. What does this statement imply about Nick’s next-best alternative salary? What are the social consequences of firms competing for artificial rents, as opposed to...

Nick’s salary is pure economic rent. What does this statement imply about Nick’s next-best alternative salary? What are the social consequences of firms competing for artificial rents, as opposed to competing for real rents (in an environment in which there are no barriers to competing for real rents)?