Lulene makes the best lemon meringue pies in Mississippi. So Ellen, who owns Ellen's Old Fashion Cafe, contracts with Lulene to buy 50 pies per week at the price of $5.00 per pie. Although Lulene took a class in business law, she forgot to get her agreement with Ellen in writing. Lulene and Ellen agreed during a chat. Lulene said: "I will supply you with lemon meringue pies for however long you
want them at $5.00 per pie." Ellen said: "That's great, I'll take them." Both women were pleased. Soon Lulene had a problem. Between a hurricane in Florida and brush fires in California, the price of lemons increased by 200%. Now, instead of the $5.00 per pie price she intended to charge Ellen, she feels she must charge $7.00 per pie to make a little profit. Lulene calls Ellen with the bad news and Ellen has a fit. She tells Lulene that's too bad, but the deal is off. Lulene says, "That's what you think!" and goes to see Amanda, her attorney. Suppose the Mississippi legislature passes a law, one day after Lulene and Ellen make their contract, that the sale of lemon pies is prohibited in the state because lemons have been found to cause cancer. This statute makes the contract:
a. valid
b. unenforceable c. voidable
d. unilateral e. legal
b
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In the dynamic model of money, an increase in the price level causes an increase in money demand, thus leading to a higher nominal interest rate. This effect is referred to as the
A. price-level effect. B. income effect. C. liquidity effect. D. inflationary effect.
A__________is a situation requiring the purchase of a product for the first time
Fill in the blanks with correct word.
Answer the following statements true (T) or false (F)
1. An economic strike is a strike that occurs when workers are unhappy with a country's general economic conditions and seek to apply pressure to government officials to improve the economy. 2. Workers cannot be disciplined or discharged for participating in unfair labor practice strikes even if the NLRB ultimately determines that the employer is innocent of any wrong-doing. 3. Regardless of whether workers strike over "mandatory" or "permissive" bargaining issues, the NLRA protects their right to strike and they cannot be discharged or disciplined for their strike activity. 4. Public sector strikes are often not allowed in part because it is believed that they have the potential to seriously harm the public interest. 5. If the President thinks a strike will be dangerous to the national health or safety, the Taft-Hartley Act empowers the President to halt a strike while an arbitrator investigates and issues a final and binding decision.
Alternative dispute resolution can provide the parties with a degree of privacy not available once a lawsuit if filed
a. True b. False