11 Combining resources of several owners for production involves partial or outright transfers of property rights through a contract. A contract for the partial transfer of rights, such as leasing or hiring embodies a structure. The stipulations, or terms, which constitute the structure of the contract are, as a rule, designed to specify (a) the distribution of income among the participants, and (b) the conditions of resource use. Under transferable rights, these stipulations are consistent with, or determined by. competition in the market place. The choice of contracts is determined by transaction costs, natural (economic) risks, and legal (political) arrangements […] 12 The structure of a contract depends on the legal system, social customs, and the technical attributes of the assets involved in the exchange.