In order to comprehend the ontological construction below, please refer to the respective posts for all notions in italic.
Extraordinary income increase, due to temporary under-supply or over-demand of a commodity, is realised as economic profit. When there are economic goods on the market, income is created and accounting profit made. Yet the product increase is given in the commodity, which contributes the most for the productivity of the productive consumption, but the profit marks the less productive side in the market exchange. All productivity is exercise beyond the market exchange, but the market is an unavoidable part of the income generating process as every quantitative increase in a particular good eventually is traded on the market. The income is distributed through the market, and the increase in rent is exchanged there for the product of a less productive entrepreneurship. Thus, the economic profit is exclusively achievable only for under-supplying parties in the market exchange.
Historical Backdrop
• JOHANN RODBERTUS Overproduction and Crises: rent.
• KARL MARX The Capital: surplus value.
• JOAN ROBINSON An Essay on Marxian Economics: gross profit margin.
• GORDON TULLOCK The Rent-seeking Society: rent-seeking.