Economics

Economics

basics of economics

Contributors in Economics

Economics

If a deposit account of $100 earns an interest rate of 10% a year, then at the end of the year the account will contain $110. If all of that money is left in the account, then the 10% interest will ...

complementary goods

Economy; Economics

When you buy a computer, you will also need to buy software. Computer hardware and software are therefore complementary goods: two products, for which an increase (or fall) in demand for one leads to ...

competitiveness

Economy; Economics

“Real economists don’t talk about competitiveness,” said Paul Krugman, a much-respected contemporary economist. Real businessmen and real politicians talk about it all the time, however. Many firms ...

competitive advantage

Economy; Economics

Something that gives a firm (or a person or a country) an edge over its rivals.

competition

Economy; Economics

The more competition there is, the more likely are firms to be efficient and prices to be low. Economists have identified several different sorts of competition. Perfect competition is the most ...

comparative advantage

Economy; Economics

Paul Samuelson, one of the 20th century’s greatest economists, once remarked that the principle of comparative advantage was the only big idea that economics had produced that was both true and ...

communism

Economy; Economics

The enemy of capitalism and now nearly extinct. Invented by Karl Marx, who predicted that feudalism and capitalism would be succeeded by the “dictatorship of the proletariat”, during which the state ...