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The Rental Income Component in the Income Approach to Calculating

question 242

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The rental income component in the income approach to calculating GDP includes the incomes of real estate agents and brokers.


Definitions:

Return on Investment

Return on Investment (ROI) measures the gain or loss generated by an investment relative to the amount of money invested.

Minimised

Reduced to the smallest possible size, amount, degree, or level.

Larger Scheme

A broader or more comprehensive plan or ambition that smaller actions or ideas contribute towards.

Expectancy Theory

A psychological theory proposing that individuals are motivated to act in certain ways based on their expectations of outcomes and the attractiveness of those outcomes.

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