Misc. Property Topics Flashcards
What is Scarcity in economic terms?
The scarcer something becomes, the more likely the community will recognize it as property
Scarcity is a fundamental economic concept that affects property rights.
Define Utility.
A measure of satisfaction or benefit derived from goods or services
Utility can include both economic values and non-economic values such as security and hobbies.
What role does money play in measuring utility?
Money can serve as a proxy for measuring utility
This indicates that utility can often be quantified in monetary terms.
What is Marginal Utility?
A person’s desire for goods or services often declines as they acquire more of the commodity
This principle highlights the relationship between consumption and satisfaction.
What does it mean for something to be Efficient?
If something maintains or increases utility (maximizes utility)
Efficiency is a key concept in economics that relates to the optimal use of resources.
Define Inefficient.
If something reduces utility or prevents a gain in utility
Inefficiency can lead to waste and suboptimal outcomes in economic activities.
What is Pareto Efficiency?
A change is Pareto efficient if it makes at least one person better off without making anyone worse off
This concept is central to welfare economics.
What does Pareto Optimal mean?
The state where no further beneficial exchanges can occur
Every voluntary transaction is considered a Pareto-efficient move.
Define Kaldor-Hicks Efficiency.
A situation where overall benefits outweigh losses, even if some individuals are made worse off
This concept emphasizes aggregate utility in society.
What is Consumer Sovereignty?
Each individual should be allowed to judge their own best interest
This relates to consumer choice and power in a competitive market.
What does the Public Choice Account explain?
How theories of self-interest can drive the development of IP law
This concept links economic theory with legal frameworks.
What are Externalities?
Side effects of economic activity on parties who didn’t choose to be involved
Externalities can be negative or positive.
Define Negative Externalities.
Costs imposed on others not included in transaction price (e.g., pollution)
Negative externalities can lead to market failures.
Define Positive Externalities.
Benefits that others receive from actions (e.g., piano teacher lessons provide pleasant music to neighborhood)
Positive externalities can enhance community welfare.
What is the definition of Property?
The right to exclude others from a thing—protected by court’s remedy for interference with that right
Property rights are fundamental to economic systems.
Differentiate between Personal Property and Real Property.
Personal Property: everything besides land; Real Property: rights associated with land
Understanding this distinction is crucial in legal contexts.
What is De Facto Possession?
Actual/physical control (may not be legal)
This type of possession can lead to disputes over property rights.
What is De Jure Possession?
Legal possession recognized by the law
De jure possession is essential for the enforcement of property rights.
What was the ruling in Black Hills v. South Dakota regarding property?
Court held t-rex was real property because it was an ‘ingredient of earth’
This case highlights how property rights can extend to unique items.
What is Conversion in legal terms?
Wrongful possession of another’s property (e.g., taking, destroying, altering, or selling)
Conversion is a common cause of action in property disputes.
Define Improvements in property law.
Items that begin as personal property but become part of real property upon installation
Improvements can affect property value and ownership rights.
What are Fixtures?
Items that are ‘liminal’, i.e., in between personal and real property
Fixtures can create legal ambiguities in property transactions.
Provide an example of an Improvement.
Patio made of stones
This illustrates how personal property can transform into real property.
Provide an example of a Fixture.
Lightbulbs worth $800
Fixtures can vary in their classification based on usage and attachment.
