Economics

Economics

basics of economics

Contributors in Economics

Economics

“Bah! Humbug”, was Scrooge’s opinion of charitable giving. Some economists reckon charity goes against economic rationality. Some have argued that the popularity of charitable giving is proof that ...

ceteris paribus

Economy; Economics

Other things being equal. Economists use this Latin phrase to cover their backs. For example, they might say that “higher interest rates will lead to lower inflation, ceteris paribus”, which means ...

central bank

Economy; Economics

A guardian of the monetary system. A central bank sets short-term interest rates and oversees the health of the financial system, including by acting as lender of last resort to commercial banks that ...

catch-up effect

Economy; Economics

In any period, the economies of countries that start off poor generally grow faster than the economies of countries that start off rich. As a result, the national income of poor countries usually ...

cartel

Economy; Economics

An agreement among two or more firms in the same industry to co-operate in fixing prices and/or carving up the market and restricting the amount of output they produce. It is particularly common when ...

capitalism

Economy; Economics

The winner, at least for now, of the battle of economic “isms”. Capitalism is a free-market system built on private ownership, in particular, the idea that owners of capital have property rights that ...

capital structure

Economy; Economics

The composition of a company’s mixture of debt and equity financing. A firm’s debt-equity ratio is often referred to as its gearing. Taking on more debt is known as gearing up, or increasing lever ...