Why do choices have to be made in all economies?
People make choices because they cannot have everything they want. All choices require giving up something (opportunity cost) Economic decision-making requires comparing both the opportunity cost and the monetary cost of choices with benefits. purchase goods and services. Why do people save money?
What is making choices in economics?
Choice refers to the ability of a consumer or producer to decide which good, service or resource to purchase or provide from a range of possible options. Being free to chose is regarded as a fundamental indicator of economic well being and development.
What are the basic factors of every economy?
Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship. The first factor of production is land, but this includes any natural resource used to produce goods and services.
What are the four basic elements of all economic systems?
Four elements define production:
- Regulation. The way the production system is controlled and regulated, such as taxation, incentives, and standards (e.g. labor laws).
- Manufacturing. Transformation of materials into intermediate and finished goods.
- Distribution.
What are the four economic agents?
Economic agents are consumers, producers, and/or influencers of capital markets and the economy at large. There are four major economic agents: households/individuals, firms, governments, and central banks. Some economists put governments and central banks together.
What are the three main economic agents?
Within an economy, there are three main groups of agents.
- Producers.
- Consumers.
- Government.
What are the 3 main economic groups?
the key economic decisions are: what to produce, how to produce, and who is to benefit from the goods and services produced. consumers, producers and government are the main economic groups. the interactions between the main economic groups.
What is Agent example?
An agent is defined as someone or something that makes something happen. A bee taking pollen from flower to flower is an example of the bee being an agent for pollination.
What are the 4 types of agents?
The Four Main Types of Agent
- Artists’ agents. An artist’s agent handles the business side of an artist’s life.
- Sales agents.
- Distributors.
- Licensing agents.
What are the kinds of agents?
There are five types of agents.
- General Agent. The general agent.
- Special Agent.
- Agency Coupled with an Interest.
- Subagent.
- Servant.
- Independent Contractor.
Who is considered an agent?
What Is an Agent? An agent, in legal terminology, is a person who has been legally empowered to act on behalf of another person or an entity. An agent may be employed to represent a client in negotiations and other dealings with third parties. The agent may be given decision-making authority.
Is agent liable for acts of principal?
An agent is not generally liable for contracts made; the principal is liable. But the agent will be liable if he is undisclosed or partially disclosed, if the agent lacks authority or exceeds it, or, of course, if the agent entered into the contract in a personal capacity.
What is an authorized agent legally?
An authorized agent is someone who has the power to act on behalf of another person. Generally, authorized agents will act on behalf of a person claiming a copyright, an author, or someone that owns an exclusive right to something.
Who can act as an agent?
According to section 184 as between the principal and third persons, any person (whether he has contractual capacity or not) may become an agent. Thus, a minor or a person of unsound mind can also become an agent.
What are the general rules of agency?
General Rules of agency. The law of agency is based on the following two general rules: The principal is bound by the acts of his agent and can get the benefit of such acts as if he had done them himself. The acts of the agent shall, for all legal purposes, be considered to be the acts of the principal.
What are the three types of agent authority?
There are three types of authority: express, implied, and apparent. Only express and implied are actual authority, because the agent is truly authorized. In apparent authority, the agent seems to be authorized, but is actually not. The principal is still bound by the agent’s actions.
What are the rights of agent?
Right to remuneration– an agent is entitled to get an agreed remuneration as per the contract. Right of lien– an agent has the right to hold back or retain goods or other property of the principal received by him, till the time his dues or other payments are made.
What are the duties of Bailee?
Duties of a bailee in respect of goods are as follows:
- Take proper care of goods. According to section 151, it is the duty of a bailee to take care of goods bailed to him.
- Not to make unauthorized use.
- Keep goods separate.
- Not set adverse title.
- Return Goods.
- Return increase or profits.
What are the 5 duties of an agent?
Terms in this set (5)
- Performance. Doing the job using reasonable skill.
- Notification. Obligation to keep principal informed.
- Loyalty. Act solely for the interest of the principal.
- Obedience. Follow all lawful orders.
- Accounting. Don’t mix personal assets with property of principal.
What agreements are considered void?
An agreement to carry out an illegal act is an example of a void agreement. For example, a agreement between drug dealers and buyers is a void agreement simply because the terms of the contract are illegal. In such a case, neither party can go to court to enforce the contract.
What makes an agreement null and void?
A null and void contract is an illegitimate agreement, making it unenforceable by the law. Null and void contracts are never actually executed because they are missing one or more of the required elements of a legal agreement.
What is an example of a void contract?
Any contract agreement created between two parties for illegal actions is also considered a void contract. For example, a contract between an illegal drug supplier and a drug dealer is unenforceable from the onset due to the illegal nature of the agreed-upon activity.
What is difference between void and voidable contract?
Essentially, the difference between void and voidable contracts is enforceability: a void contract is illegal and unenforceable; a voidable contract is legal and enforceable. A contract that is void is unenforceable, meaning that neither party has legal recourse against the other for a breach.
What is the meaning of voidable?
Voidable, in law, is a transaction or action that is valid but may be annulled by one of the parties to the transaction. Voidable is usually used in distinction to void ab initio (or void from the outset) and unenforceable.
What are the characteristics of voidable contract?
What Is a Voidable Contract?
- Failure by one or both parties to disclose a material fact.
- A mistake, misrepresentation or fraud.
- Undue influence or duress.
- One party’s legal incapacity to enter a contract.
- One or more terms that are unconscionable.
- A breach of contract.
What does rescission mean?
the voiding of
What is an example of rescission?
Rescission Example The most common example of rescission is the three-day right of rescission, in which a borrower refinancing a loan has extra time to reconsider the decision. The “clock” on the rescission process begins “ticking” the moment the contract is signed by the borrower.
What is the purpose of rescission?
The purpose of contract rescission is to rewind time and put the parties in the position they were in before the contract. Contract rescission must be done entirely. To rescind a contract you must cancel the whole contract.
What are the two types of rescission?
There are two kinds of rescission, namely rescission in equity and rescission de futuro. Also referred to as rescission ab initio, i.e., from the beginning, rescission in equity works by rolling back the contract to the initial state of affairs, before the parties in question accepted the terms of the contract.