The Advantages of Maintaining Monopolies

question 136

Multiple Choice

The advantages of maintaining monopolies:

• A) always outweighs the total welfare costs due to lost surplus.
• B) sometimes outweighs the total welfare costs due to lost surplus.
• C) never outweighs the total welfare costs due to lost surplus.
• D) is a normative argument that has no right answer.

Grasp the concept of adequacy of consideration and its relevance in court evaluations of contracts.

Understand bilateral and unilateral contracts through the lens of consideration and promises.

Examine exceptions to the rule requiring consideration in contract formation and enforceability.

Analyze the role of past consideration in contract law and its typical exclusion from forming valid consideration.

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Definitions:

Pool Their Resources

To combine assets, funds, or talents of a group of people for a common purpose or to achieve a common goal.

Business Trust

A legal entity formed under trust law to pursue business activities, offering participants flexibility in management and investment.

Assets

Economic resources or owned items of value that an individual, company, or organization possesses.

Profits

The financial gain obtained after subtracting expenses from revenue in a business operation.