A legal agreement created by the courts between two parties who did not have a previous obligation to each other. A normal contract requires two parties to consent to mutually agreeable terms. Under a quasi contract, neither party is originally intended to create an agreement. Instead, an arrangement is imposed by a judge to rectify an occurrence of unjust enrichment. Investopedia explains ‘Quasi Contract’When one party knowingly receives something for nothing, the courts may impose a quasi contract. For example, if UPS delivers a new television to Zoe that she did not order and she keeps the television and does not attempt to return it to the company that mistakenly shipped it to her, a judge could impose a quasi-contract to force her to pay for the television. Zoe did not intend to purchase the TV, and the TV company did not intend to sell her a TV, but since she chose to benefit from the TV at the company’s expense, the court requires her to reimburse the TV company to make the situation fair.
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What does Quasi Mean?
Source: http://answers.ask.com/Reference/Dictionaries/what_does… The word quasi means almost, sort of, near, not exact, or imperfect. It is when something is close to the original, or has traits of the original, but is not 100% perfect in comparison. A few examples are knock off purses and counterfeit money. For m More »
What is a quasi contract?
Source: http://www.ehow.com/facts_5139973_quasi-contract.html?r… A quasi-contract contract exists when one party has conferred a benefit on another; the party who conferred had reasonable expectation of getting paid; the party did not act as a volunteer in conferring the benefit; and the party receiving … More » What does quasi contract mean?
Source: http://www.audioenglish.net/dictionary/quasi_contract.h… 1. a contract created by law for reasons of justice without any expression of assent More » What does quasi mutual assent mean in relation to the contract?
Source: http://wiki.answers.com/Q/What_does_quasi_mutual_assent… When one being induced into contract without formal acceptance but only show with signs and actions that she or he accepts the offerer’s contract. More
What is genuine consent?
It is consent given freely, voluntarily and intelligently. The definition presupposes that: (a) the person giving the consent is qualified to do so. A minor under 18 for example cannot give his consent to a contract unless assisted by a legal guardian. (b) the consent-giver is not under duress, fraud, intimidation, undue influence, mistake, force, violence or threat. For example, a person who married under pain of death can later impugn the marriage for lack of consent (c) that the consent-giver is of sound mind. A crazy person or one heavily intoxicated cannot give consent unless it is given during a so-called lucid interval.
All contracts are agreement but all agreement are not contracts Answer; A contract is a legally binding agreement or relationship that exists between two or more parties to do or abstain from performing certain acts. A contract can also be defined as a legally binding exchange of promises between two or more parties that the law will enforce. For a contract to be formed an offer made must backed acceptance of which there must be consideration. Both parties involved must intend to create legal relation on a lawful matter which must be entered into freely and should be possible to perform. An agreement is a form of cross reference between different parties, which may be written, oral and lies upon the honor of the parties for its fulfillment rather than being in any way enforceable.
All contracts are agreement because there must be mutual understanding between two parties for a contract to be formed. All parties should agree and adhere to the terms and conditions of an offer. The following cases illustrate ways in which all contracts are agreements; In the case of invitation to treat, where an invitation to treat is merely an invitation to make an offer. When a firm’s offer is accepted it results into a contract provided other elements of contracts are accepted. Considering person A buying a radio on hire purchase from person B who deals with electronics and its appliances.
Both parties must come to an agreement on payment of monthly installment within specified period of time. Such an agreement result to specialty contract which a contract under seal. All contracts are agreement until avoided for example, avoidable contract where one of the parties can withdraw from it if s/he wishes. This occurs due to minor agreement and misrepresentation or undue influence. Considering a case where person A make contract with person B but during the contract period B realizes that he was engaged to perform an agreement under undue influence.
Mathematical Proof of the Rybczynski Theorem
(Source: Steve Suranovic 2005)
The Rybczynski theorem demonstrates the effects of changes in the resource endowments on the quantities of outputs of the two goods in the context of the H-O model. One can apply the theorem anytime some change in the model causes a change in one of the endowments. This could occur as a country invests and thus raises its capital stock, if immigration or emigration occurs or as population growth or growth of the workforce occurs for other reasons. We use the two resource constraint conditions which must be satisfied in an equilibrium. (5c)| |
The asterisks indicate that these unit-factor requirements are the optimal levels derived from the cost minimization exercise and are functions of the wage, w, and the rental rate on capital, r. We will assume that wages and rents remain fixed which implies that output prices remain fixed as well. Differentiating (5a) and (5d) with respect to L yields,
Writing these in matrix form yields,
This expression can now be solved using Cramer’s Rule to get, (9a)| |
Whether these partial derivatives are positive or negative depends on the signs of the denominator. Assume the denominator of each expression is less than zero. This means that the denominator is negative if and only if production of good one is capital-intensive and production of good two is labor-intensive. So, let’s suppose that good one is capital-intensive (good two is labor-intensive). Then, since each unit factor requirement is positive.
This implies, that if good one is capital-intensive (good two labor-intensive) and if the labor endowment rises, then the output of good one would fall and the output of good two would rise if output prices of both goods remained the same. If we conducted the same exercise for changes in the capital endowment, and we continue to assume that good one is capital-intensive and good two labor-intensive, then we would show that, if we assumed the converse, i.e., if good one were labor intensive and good two capital intensive, then the signs of all of the above derivatives would be reversed. These results lead to the following general statement of the Rybczynski theorem. If a factor endowment in a country rises (falls), and if prices of the outputs remain the same, then the output of the good that uses that factor intensively will rise (fall) while the output of the other good will fall (rise).