A Promise of an Act by One Party in Exchange

question 12

Multiple Choice

A promise of an act by one party in exchange for the promise of an act by another is an example of:

• A) a void contract.
• B) a valid offer and acceptance.
• C) valid consideration.
• D) a voidable contract.

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Definitions:

Agency

In economics and finance, refers to a relationship where one party, the agent, makes decisions or performs a service on behalf of another, the principal.

Cyclical Unemployment

Unemployment directly related to cycles of economic upturn and downturn.

Structural Unemployment

A form of unemployment caused by a mismatch between the jobs available and the skill levels of the unemployed, often due to technological changes or shifts in the economy.

Frictional Unemployment

Short-term unemployment occurring when individuals are between jobs or are seeking their first jobs.