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Answer to Question #344637 in Macroeconomics for Boitumelo

Question #344637

Why rent seeking bad for economy

1
Expert's answer
2022-05-25T10:28:45-0400

Rent seeking harms economic growth by reducing competition and innovation. It leads to the wasteful use of valuable resources and talents in unproductive activities and invariably redistributes resources from large unorganised populations to small organised groups.


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