Pareto efficiency of enforcing the second player promise

Assignment Help Business Law and Ethics

Reference no: EM131908380

Question: 1. Explain why the economic theory of contracts would enforce a firm offer to sell a Chevrolet and the promise of a gift to Old Siwash University.

2. Explain why the numbers in Figure indicate that the second player is liable for expectation damages in the event of breach.

3. In Figure, both parties desire enforceability of the second player's promise when the promise is made, but when the time comes to perform, the promisor may not want enforceability. What do these facts say about the Pareto efficiency of enforcing the second player's promise? promise is made, which can be called ex ante Pareto efficiency, and the Pareto efficiency of actually enforcing the promise when the time comes to perform, which can be called ex post Pareto efficiency.)

Reference no: EM131908380

Questions Cloud

Will charade make the uncle promise enforceable : People often change the form of a promise in an attempt to increase their certainty that courts will enforce it according to its terms.

Performance and the resulting impact to the stock price : Predict the stock price of Facebook over the next five years, indicating the key drivers of the performance and the resulting impact to the stock price.

What is the break-even point for mishoe corporation : Variable expenses 32,500 and Fixed expenses 12,250. What is the break-even point for Mishoe Corporation in unit sales? Please explain

Major embarking on a career in investment banking : As a recently - graduated finance major embarking on a career in investment banking, you naturally must own a Benz immediately.

Pareto efficiency of enforcing the second player promise : What do these facts say about the Pareto efficiency of enforcing the second player's promise? promise is made, which can be called ex ante Pareto efficiency.

What is the break-even point for ploeger corporation : Sales (4,000 units) $240,000. What is the break-even point for Ploeger Corporation in dollar sales? Please explain

What kind of analysis should be done in the given case : A tax consultant wonders whether he should be more selective about the class of clients. What kind of analysis should be done in the above case and why?

What is the contribution margin per unit : What is the contribution margin per unit? What is the contribution margin ratio? What is the variable expense ratio? Please explain

What items will appear on the lessees classified balance : What items will appear on the lessee's classified balance as of December 31, 2017? Provide the journal entries for 2017 for the lessor.

User Account

All Pages