The Basic Elements of a Contract Include Agreement, Lawful Subject

question 258

Multiple Choice

The basic elements of a contract include agreement, lawful subject matter, legal capacity, consent, and:

• A) offer
• B) remedies
• C) performance
• D) consideration
• E) acceptance

---

Definitions:

Labor Supply Curve

Represents the relationship between the wage rate and the quantity of labor that workers are willing to supply, typically showing that higher wages attract a larger labor supply.

Substitution Effect

The change in consumption patterns due to a change in the relative prices of goods, leading consumers to substitute away from more expensive items toward cheaper ones.

Higher Wage

An increased rate of pay provided to employees, typically as a result of increased skill, productivity, or market pressures.

Labor Supply Curve

A graphical representation of the relationship between the wages on the vertical axis and the amount of labor willing to work at that wage on the horizontal axis.