Jean Entered into a Written Contract for the Purchase of a Television

question 3

Essay

Jean entered into a written contract for the purchase of a television set for $300 from Local Department Store.The same model television was selling in all the other stores for $400.Assume that Jean was ready and willing to pay the $300 contract price, but Local refused to convey the television set to her.Jean sued for specific performance and, in the alternative, for money damages.Under the circumstances, what relief is Jean entitled to? Explain thoroughly.

---

Definitions:

Inferior Good

A type of good for which demand decreases as the income of the consumer increases, typically because consumers can afford better alternatives.

Substitution Effect

The change in consumption patterns due to a change in relative prices, leading consumers to substitute one good for another more or less expensive good.

Income Effect

The change in an individual's or an economy's consumption resulting from a change in real income.

Normal Good

A product whose demand increases as consumer income rises, indicating a direct relationship between income and demand for the good.