In its everyday meaning ‘rent’ refers to payment for the use of land. As such its return is determined like that of other factor services. The demand for land is a derived demand, and thus depends upon its MRP. On the supply side, land can be used in many ways and will be transferred to its most profitable use. Rent is determined by interaction of demand and supply, although in the short period: a landlord may hot be able to vary the rent in response to a change in demand or supply; land cannot be transferred quickly.