The Legally Binding Agreement That Is the Essence of a Contract

question 113

Multiple Choice

The legally binding agreement that is the essence of a contract is reached though a process of:

• A) offer and rejection
• B) offer and bargaining
• C) offer and acceptance
• D) acceptance and offer
• E) offer and compliance

---

Definitions:

Public-sector Provision

Involves services and goods provided by the government or public entities to ensure welfare and infrastructure availability to the public.

Rent-seeking

The practice of gaining wealth without creating new wealth, typically through manipulating the social or political environment in which economic activities occur.

Short-sightedness Effect

The tendency of decision makers to prioritize immediate benefits at the expense of long-term gains.

Externalities

Costs or benefits that affect a party who did not choose to incur those costs or benefits, often leading to market failure if unaddressed by policy.