Term
| Savings-Investment Spending Identity |
|
Definition
| savings and investment spending are always equal for the economy as a whole. |
|
|
Term
|
Definition
| difference between tax revenue and gov spending when tax revenue exceeds gov spending. |
|
|
Term
|
Definition
| difference between tax revenue and gov spending when gov spending exceeds tax revenue. |
|
|
Term
|
Definition
| difference between tax revenue and gov spending. |
|
|
Term
|
Definition
1. the sum of private savings.
2. total amount of savings gnerated. within the economy |
|
|
Term
|
Definition
| an economy in which goods and money can flow into and out of the country. |
|
|
Term
|
Definition
|
|
Term
|
Definition
| foreign savings that finance investment spending in the country. |
|
|
Term
|
Definition
| domestic savings that finance investment spending in another country. |
|
|
Term
|
Definition
| examines the market outcome of the demand for funds generated by borrowers and the supply of funds provided by lenders. |
|
|
Term
|
Definition
| price, calculated as a percentage of the amount borrowed, charged, by lender for the use of their savings for one year. |
|
|
Term
|
Definition
| profit earned on the project expressed as a percentage of its cost. |
|
|
Term
|
Definition
| negative effect of budget deficits on private investment. |
|
|
Term
|
Definition
| value of accumulated savings |
|
|
Term
|
Definition
| paper claim that intitles the buyer to future income from the seller |
|
|
Term
|
Definition
| claim on a tangible object that gives the owner the right to dispose of the object as he or she wishes |
|
|
Term
|
Definition
| requirement to pay income in the future. |
|
|
Term
|
Definition
| expenses of negotiating and executing a deal. |
|
|
Term
|
Definition
| uncertainty about future outcomes that involve financial losses and gains. |
|
|
Term
|
Definition
| investing in several differnt things so that the possible losses are independent events. |
|
|
Term
|
Definition
| can be quickly converted into cash |
|
|
Term
|
Definition
| cannot be quicky converted into cash |
|
|
Term
|
Definition
|
|
Term
|
Definition
institution that deals with money
(banks, credit unions, etc.) |
|
|
Term
|
Definition
| creates a stock portfolio and then resells shares of this portfolio to individual investors. |
|
|
Term
|
Definition
| holds assets in order to provide retirement income to its members. |
|
|
Term
|
Definition
| claim on a bank that obliges the bank to give the depositor his/her cash when demanded. |
|
|
Term
| Efficient Markets Hypothesis |
|
Definition
| asset prices embody all publicly available information. |
|
|
Term
|
Definition
| movement over time of an unpredictable variable. |
|
|
