Employing a Lawyer to Draft and Enforce a Private Contract

question 204

Multiple Choice

Employing a lawyer to draft and enforce a private contract between parties wishing to solve an externality problem is an example of

• A)an opportunity cost.
• B)an implicit cost.
• C)a sunk cost.
• D)a transaction cost.

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Definitions:

Retention

Retention in a business context refers to the ability of a company to keep its employees from leaving to work elsewhere.

Employee Relationship

Pertains to the management of interactions between the employer and employees, aiming to enhance job satisfaction, productivity, and organizational loyalty.

Human Capital

The proficiency, awareness, and prior achievements of a person or collective, assessed based on their economic value or price to an entity.

Human Capital

The collective value of the capability, intelligence, and productivity of individuals within an organization or society.