Economics

Absolute Advantage
The ability to produce an output using fewer inputs than other producers.
Absorption - Definition and Meaning
An in-depth look into the term 'absorption' within the context of national accounts and economic analysis.
Abstinence
Abstinence in economic context refers to refraining from or postponing consumption.
Abuse of Dominant Position
A comprehensive analysis of the term 'abuse of dominant position' within economics, mainly concerning anti-competitive business practices by market-dominant firms.
Acceptance
Exploring the meaning and implications of acceptance in the context of a bill of exchange.
Accommodatory Monetary Policy
A policy of allowing the supply of money to expand in line with the demand for it, balancing economic growth and inflation.
Accounting Period
The period of time, normally a year, to which a set of company accounts refers.
Accounting Profit
Accounting profit is the level of profit calculated using standard accounting principles.
Accounts
A comprehensive explanation of accounts and accountability within environmental economics.
Accounts Payable
An entry describing the concept of Accounts Payable, its meaning, and relevance in economics.
Accrual Rate
The fraction used to express the rate of increase of the pension entitlement in a final salary scheme.
Acquisition
Expansion of a company through the purchase of another business, including the outlined terms and governing rules.
Acquisitions Approach
An approach to the construction of a consumer price index focusing on the acquisition of consumption goods and services.
Active Labour Market Policies
Government interventions aimed at assisting the unemployed to find work, including job centres, training schemes, and employment subsidies.
Actuarial Assumption
An estimate of a random variable used in financial calculations, prominently in insurance, determining premiums or benefits using statistical data.
Adaptation
Policies and actions to prevent or reduce the adverse effects of climate change.
Adjustment
Exploration of the term 'Adjustment' in economics, its definitions, applications, and contrasting perspectives.
Adjustment Costs
The costs associated with making changes in economic variables controlled by economic agents.
Advances - Definition and Meaning
Detailed exploration of bank advances, their definitions, types, and implications in the context of economic lending practices.
Advantage
Understanding the nuances of 'Advantage' in economic frameworks, including absolute and comparative advantage.
Advertising
Activity designed to attract attention, inform, and persuade potential customers to buy products or services
After-Tax Income
An in-depth look into after-tax income, including its meaning, historical context, and analytical frameworks.
Agency Cost
An analysis of the agency costs in economic theory, their implications, and associated frameworks.
Agency Problem
An examination of the agency problem, defined as the difficulties encountered when a principal delegates a task to an agent, highlighting issues of asymmetric information and incomplete contracts.
Agency Theory
An exploration of agency theory, focusing on the contractual relationship between a principal and an agent, asymmetric information, and incentive mechanisms.
Agglomeration Economies
Explanation of agglomeration economies, their historical relevance, analytical frameworks, and case studies.
Aggregate Demand
An in-depth explanation of aggregate demand, its components, and significance in both closed and open economies.
Aggregate Demand Schedule
A comprehensive entry exploring the concept of aggregate demand schedule in economics, including definitions, historical context, and analytical frameworks.
Aggregation
The process of summing individual values into a total value, used in various economic contexts such as aggregate demand and aggregate capital stock.
Aggregation Problem
An exploration of the conceptual difficulties inherent in using aggregate values to represent the total of individual values in economic analysis.
Aid-in-Kind
Aid provided in the form of goods or services rather than in the form of money.
Allais Paradox
Anomalies in expected utility theory and its implications on decision making under risk.
Almon Distributed Lag
A comprehensive explanation of the Almon distributed lag model in econometrics.
Altruism - Definition and Meaning
Exploration of altruism in economics, its implications on traditional economic theories, and various analytical perspectives.
Amalgamation: Definition and Meaning
A comprehensive definition and exploration of the economic term 'amalgamation,' also known as merger.
Ambiguity Rule
A principle in US law ensuring ambiguities in insurance contracts are interpreted in favor of the insured.
American Economic Association
Comprehensive entry on the American Economic Association (AEA), its purpose, history, and influence on economic research and practice.
Amortization
Explanation of amortization—the gradual buildup of a fund to replace an asset or repay a loan over a period.
animal spirits - Definition and Meaning
An economic concept introduced by John Maynard Keynes that refers to the instincts and emotions that influence human behavior in economic decision-making.
Announcement Effect
The effect of a policy change announcement prior to its actual implementation on economic behavior, contingent on the credibility of the policy-maker.
Annual Report and Accounts
Detailed account of a company's or organization's activities and financial performance over the past financial year.
Annualized Percentage Rate (APR) of Interest
A comprehensive guide to understanding the Annualized Percentage Rate (APR) of interest, its calculations, importance, and applications in economics.
Anomalies in Economics
Economic choices unexplained by standard choice theory that have led to the development of behavioral economics.
Anti-Competitive Practice
Practices that reduce the degree of competition in a market including price fixing, dumping, regulations, and monopolization.
Anti-dumping Action
The procedure by which complaints of dumping are investigated and imposition of anti-dumping duties is assessed.
Anticipated Inflation
An overview of anticipated inflation within the broader concept of expected inflation, including definitions, historical context, and major analytical frameworks in economics.
Arbitrage
A financial strategy involving the simultaneous purchase and sale of an asset in different markets to profit from price differences.
Arbitrageur
Exploring the definition and meaning of an arbitrageur in economics, including its contexts and implications.
Arm’s-Length Price
The price at which two unrelated parties would agree upon for a transaction free of any duress, used especially for taxation and transfer pricing purposes.
Assembly Line
An examination of assembly line production and its implications in economics.
Asset Motive
The incentive to hold money as a store of value based on economic conditions.
Asset Prices
Understanding the dynamics and significance of asset prices in economics.
Asset-Stripping
The process of dividing up the assets of a company for higher value gain compared to their combined worth.
Assets - Definition and Meaning
Possessions of value, both real and financial, that are owned by individuals or entities.
Auctioneer
A comprehensive overview of the role of an auctioneer in managing the bidding process.
Autarchy
The state or condition of economic independence and self-sufficiency, characterized by the absence of trade.
Authorized Capital
Definition and analysis of authorized capital in economics and corporate finance.
Autocorrelation
A comprehensive dictionary entry for the economic term 'autocorrelation,' examining its definition, historical context, and relevance across various economic frameworks.
Autocovariance Function
A sequence of autocovariances of a covariance stationary time series process as a function of the lag length.
Autoregressive Moving Average (ARMA (p, q)) Model
A comprehensive dictionary entry on the Autoregressive Moving Average (ARMA (p, q)) model utilized in time series analysis within economics.
Average Cost
Total cost of production divided by quantity produced, combining both average fixed cost and average variable cost.
Average Cost Pricing
A policy of setting prices to cover average costs, often used by government-controlled or non-profit entities.
Average Earnings Scheme
Definition and analysis of the term "average earnings scheme," including its practical applications and relevance in economics.
Averch-Johnson Effect
The observation that whenever the profit-to-capital ratio of a company is regulated, it has an incentive to over-invest in capital, resulting in inefficiently high levels of capital accumulation.
Avoidable Cost
An economic term referring to costs that can be eliminated by ceasing an activity or production.
Avoidance - Definition and Meaning
Exploring the concept of avoidance, with a focus on its applications within economics and tax policy, and its differentiation from evasion.
Axiom - Definition and Meaning
A logical starting point used in economic deduction without needing proof or demonstration.
Backdoor Monetary Policy
The conduct of monetary policy through channels that are not publicly observable.
Backward Integration
The expansion of a firm’s activities to include the production of inputs formerly sourced from outside.
Backwardation
A situation in which the futures price of a commodity is lower than the spot price.
Bad Debt
Debt that is known to be impossible or unlikely to be repaid.
Balance
An extensive overview of the term 'balance' and its different contextual applications within the field of economics, such as external balance, internal balance, and invisible balance.
Balance of Trade
A comprehensive entry on the concept of balance of trade in economics, outlining its definition, historical context, analytical frameworks, and more.
Balance-of-Payments Crisis
An in-depth exploration of balance-of-payments crisis, its causes, remedies, and implications in various economic frameworks.
Balanced Growth Path
An economic equilibrium where major aggregate variables grow at a consistent rate over time.
Baltic Free Trade Agreement
Baltic Free Trade Agreement - A free trade agreement between Estonia, Latvia, and Lithuania established in 1993 and remaining in place until the three countries joined the European Union in 2004.
Bandwidth
The scale of the neighbourhood of a point used in non-parametric estimation of a function
Bank Deposit - Definition and Meaning
An exploration into the concept of bank deposits, their historical context, and relevance in various economic theories.
Bank Note
Definition and explanation of bank notes in economics.
Bank of England
Definition and meaning of the Bank of England as the central bank of the United Kingdom.
Bank Regulation
The application to banks of public controls stricter than those on businesses in general, justified by concerns that bank failures may disrupt the economy more profoundly than other business failures.
Bank Run
An examination of bank runs, a situation characterized by massive withdrawals from a bank due to a loss of confidence from depositors.
Banking
The provision of payments facilities, credit, and capital to individuals, firms, and the government.
Bargaining Power
The ability to obtain a large share of the possible joint benefits to be derived from any agreement.
Bargaining: Definition and Meaning
An exploration of the term bargaining in economics, including its definition, historical context, and analytical frameworks.
Barriers to Entry - Definition and Meaning
A comprehensive overview of barriers to entry that obstruct new firms from entering a market or new workers from competing for employment.
Barriers to Exit
Obstacles that make it costly for a firm to exit a market, thereby intensifying competition.
Barter
An overview of the concept of barter, its historical context, definitions, and related analytical frameworks.
Base Money
An overview of the term 'base money,' also known as the monetary base, and its significance in economics.