marginal productivity theory of distribution

a theory of the FUNCTIONAL DISTRIBUTION OF INCOME in which FACTOR INPUTS (labour, etc.) receive a payment for their services (wages, etc.) which is equal to their MARGINAL REVENUE PRODUCT.

Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005

Mentioned in

labour theory of value

All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.