If a Person Is Unable to Understand the Nature and Effect

question 30

True/False

If a person is unable to understand the nature and effect of entering into a contract,he or she can avoid it.

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Definitions:

Capital

Financial assets or the monetary value of assets, such as buildings and machinery, invested in a business to create more wealth.

Unemployment Rate

The percentage of the labor force that is jobless and actively seeking employment.

Opportunity Cost

The economic impact of dismissing the next prime alternative while reaching a decision.

Scarce Resources

Limited supplies of inputs necessary for production, leading to trade-offs and choices in their allocation.