RENT
213
theory of rent, which holds in this particular
case, holds also of payments for differential
advantages of quite another kind. The
foregoing demonstration is in fact an
exposition by the method of example of the
general theory of rent when rent is understood
as payment for differential advantages. It
will be comprehended that the same forces
come into play when human factors in
production are being dealt with as well as
when land is being dealt with. Just as there
are differences in respect of fertility between
different plots of land, so there are differences
in respect of capacity, industry and quickness
between different persons. Take the case
of a particular industry, and, to make it a
strong case, suppose that those who work in
it must have special ability. Naturally it is
impossible to obtain for the industry an
unlimited supply of labour of the highest
quality. Employers must have recourse to
labour of lower qualities if the trade is to
attain to any magnitude, just as farmers
must have recourse to some land which is not
of the best sort. The least efficient operative
may be termed the marginal operative, just
as the least valuable land may be termed the
marginal land. Through the working of the
principle of substitution it is plain that the