-Refer to Exhibit 10-1

question 77

Multiple Choice

-Refer to Exhibit 10-1.At all points on the 45-degree line,

• A) TP = Real GDP.
• B) TP > Real GDP.
• C) TP < Real GDP.
• D) all of the above are possible.

---

Definitions:

Preexisting Duty

An obligation that one is already legally bound to perform, which cannot serve as consideration for a new contract.

Extortion

The act of obtaining something, especially money, through force or threats.

Preexisting Duty

Preexisting Duty is a legal principle stating that an action or service required by an existing contract cannot serve as consideration for a new contract.

Promissory Estoppel

A doctrine that applies when a promisor makes a clear and definite promise on which the promisee justifiably relies. Such a promise is binding if justice will be better served by the enforcement of the promise.