Final answer:
Property rights offer individuals collateral to secure credit for investments and education, and they promote the responsible use of resources. The answer to the student's question is 'a. Collateral, responsible.'
Step-by-step explanation:
Property rights are important to individuals because they provide the needed collateral to secure credit. This allows people to invest in small businesses or pay for education. Property rights also ensure responsible use of resources, as individuals will use their resources carefully and wisely to profit. The correct answer to the question is: a. Collateral, responsible.
Property rights and contractual rights are fundamental in a legal environment that supports economic growth, as they allow individuals and firms to own property and use it as they see fit, including the ability to trade, sell, and enter into contracts with others.