An implicit agreement among the members of a society to cooperate for social benefits, for example by sacrificing some individual freedom for state protection. Theories of a social contract became popular in the 16th, 17th, and 18th centuries among theorists such as Thomas Hobbes, John Locke, and Jean-Jacques Rousseau, as a means of explaining the origin of government and the obligations of subjects.
Answer: consumer surplus
Explanation:
The difference between the maximum amount a person is willing to pay for a given quantity of a good and the amount actually paid for that quantity is known as consumer surplus. On a supply and demand curve, it is the area between the equilibrium price and the demand curve. For example, if you would pay 76 dollars for a cup of tea but can buy it 50 dollars, your consumer surplus is 26 dollars
Answer:
To put a little bit of context:
'Shock Therapy' in this question refers to the rapid transition between communism into Market-Based economy that Poland did as soon as they got free from Soviet Union.
At that time, the mismanagement that Communist regime did caused an economic Slump in Poland. They made the government obtain control on all aspect of economy, leaving little freedom for the citizens to actually pursue their own interest. But, since the communism ideology was implemented for a long time, people's perception of what a working economy should be were heavily clouded.
The fast transition to a more liberalized economy was aimed to revitalized Poland's economy as soon as possible. They want to produce different types of Goods and Services to fulfill the citizens' need along with exporting some of those products to compete in international market.
