Students can go through AP Inter 1st Year Economics Notes 6th Lesson Theory of Distribution will help students in revising the entire concepts quickly.
AP Inter 1st Year Economics Notes 6th Lesson Theory of Distribution
→ The theory of distribution discusses the pricing of the factors of production as well as the distribution of total income among the different factors production and for producing that output.
→ The term distribution refers to functional distribution, personal distribution. Functional distribution is of two types.
- Micro distribution
- Macro distribution.
→ According to marginal productivity theory the price of a factor of production is equal to its marginal productivity.
→ Rent is the reward or payment to land service.
→ The theory of distribution explains or refers to the pricing of factors of production, as well as the distribution of National Income among the different factors of production which made possible National Income.
→ The different types of distribution are functional distribution, Micro distribution, Macro distribution, personal distribution.
→ According to marginal productivity of distribution, the reward or price of any factor of production is equal to its marginal productivity, expressed in terms of Marginal Revenue Product (MRP), also known as Marginal Value Product.
→ Rent is the reward or price paid for the services of land.
→ The various types/concepts of rent are contract rent, economic rent, scarcity rent, quasi rent, rent as surplus over transfer earnings.
→ Wage is the price or reward paid for the services rendered by labour in the production of goods and services.
→ The different forms of wages are Money or Nominal Wages, Real Wages, Piece Wages, Time Wages.
→ According to David Ricardo, Rent is a different surplus, which arises only to superior grade lands.
→ According to Marshall, Scarcity rent refers to surplus or excess price (rent) which land gets due to its scarcity or due to its perfectly inelastic supply.
→ According to Marshall, Quasi-rent refers to surplus or excess amount earned by man made appliances in the short run whose supply is inelastic and cannot be increased.
→ According to Mrs. Joan Robinson, transfer earnings refers to the additional or excess amount earned by a factor or production in the present employment (present use) over its alternative employment or alternative use.
→ Purchasing power of Money, Method of payment, Regularity of employment, Nature of work, Conditions of work, Future prospects, Social prestige, etc. are some of the factors that determine real wage.
→ The money wage, expressed in terms of purchasing power of money or general price level is known as real wage.
→ Some of the important theories of wages are: Subsistence theory of wages, Wage fund theory, Residual claimant theory of wages, Taussig’s theory of wages and Modern theory of wages.
→ In Economics, interest is the reward or price paid for the services of factor of production capital.
→ Some of the important theories of interest are: Abstinence or waiting theory of interest, Productivity theory of interest, Loanable funds theory of interest, Liquidity preference theory of interest, etc.
→ The term Gross Interest refers to the actual amount paid by the borrower to the lender for the use of capital or for the services of capital.
→ The various components of Gross Interest are Net Interest, Reward for risk taking, Reward for inconvenience, Reward for management.
→ Net interest is the reward or amount paid for the services of capital alone.
→ In Economics, the term profit refers to the price or reward payable to the factor of production organisation / entreprenuer for his services.
→ The term Gross Profit refers to the difference between total revenue and total cost of production of a producer / business unit.
→ The term Net Profit refers to the reward or price paid to the organiser/entreprenuer for , his entrepreneurial skills or abilities alone.
→ The important components of Gross Profit are Net Profit, Implicit Rent, Implicit Wages, implicit Interest, Depreciation Charge?, Insurance Charges, Chance Gains, etc.
→ Some of the important theories of profits are: Dyanamic theory of profits, Innovation theory, Risk theory of profit, Uncertainty theory of profit, Walker’s theory of profit, etc.
→ మొత్తం ఉత్పత్తి విలువ నాలుగు ఉత్పత్తి కారకాల మధ్య ఏవిధంగా పంపిణీ చేయబడుతుందో తెలియజేసేది పంపిణీ.
→ పంపిణీని ఆదాయ పంపిణీ, వైయక్తిక ఆదాయ పంపిణీ అని రెండు విధాలుగా పరిశీలించవచ్చును.
→ నిశ్చల పరిస్థితిలో ఉద్యమదారునితో సహా ప్రతి ఉత్పత్తి కారకము దాని ఉపాంత ఉత్పాదనకు సమానంగా ప్రతిఫలం పొందుతుందని జె.బి. క్లార్క్ ఉపాంత ఉత్పాదకత సిద్ధాంతాన్ని తెలిపెను.
→ ఉత్పత్తి కారకంగా భూమి అందించే సేవలకు లభించే ప్రతిఫలం భాటకం. భూమికున్న సహజమైన నశింపులేని శక్తులను ఉపయోగించుకున్నందుకుగాను రైతు తన పంటలో భూస్వామికి చెల్లించే భాగం భాటకం.
→ శ్రామికుల సేవలకు ఒప్పందం ప్రకారం, యజమాని ప్రతిఫలంగా ఇచ్చే మొత్తం ద్రవ్యాన్ని వేతనం అంటారు. వేతనాలు నాలుగు రకాలు.
- ద్రవ్యవేతనం
- వాస్తవిక వేతనం
- పనినిబట్టి వేతనం
- కాలాన్నిబట్టి వేతనం.
→ ద్రవ్యత్వాభిరుచిని వీడినందుకుగాను ఋణగ్రహీత, ఋణదాతకు చెల్లించే ప్రతిఫలం వడ్డీ అని కీన్స్ అభిప్రాయం.
→ ఋణగ్రహీత నుండి ఋణదాత పొందే మొత్తం వడ్డీని స్థూల వడ్డీ అంటారు. కేవలం మూలధనం సేవకిచ్చే ప్రతిఫలం నికర వడ్డీ.
→ ఉత్పత్తిలో అనిశ్చితత్వం భరించినందుకు వ్యవస్థాపనకు వచ్చే ప్రతిఫలం లాభమని ప్రో. నైట్ అభిప్రాయం.
→ మొత్తం రాబడి నుండి వ్యయాన్ని తీసివేస్తే వచ్చేది స్థూలలాభం. కేవలం వ్యవస్థాపకుని సేవకు లభించే ప్రతిఫలం నికర లాభం.