ECONOMY
Chaos Theory
Chaos Theory Chaos theory is a branch of mathematics that studies the behavior of nonlinear dynamical systems. It explores the intricate relationship between seemingly simple systems and their ability to exhibit complex and unpredictable behavior. Key Concepts: Dynamical Systems: Systems that evolve over time in response to initial conditions and external inputs. Nonlinear: Systems where […]
Stimulus Package
A stimulus package is a set of incentives offered to encourage a behavior or to increase the frequency of a behavior. It is a concept that is often used in psychology and behavior analysis. Types of stimulus packages: Positive reinforcement: Offering a reward or incentive for a desired behavior. Negative reinforcement: Removing a punishment or […]
Bank For International Settlements (Bis)
Bank for International Settlements (BIS) The Bank for International Settlements (BIS) is a specialized international organization that facilitates settlement of payments and exchange of foreign exchange between banks worldwide. It is a global system that provides a platform for banks to exchange payments and foreign exchange transactions quickly, securely, and reliably. Key Functions of BIS: […]
Net National Product (Nnp)
Net National Product (NNP) Net National Product (NNP) is a measure of a country’s total economic activity. It is the value of all goods and services produced within a country’s borders in a particular time period. Formula: NNP = GDP – depreciation Components: Gross Domestic Product (GDP): The total value of all goods and services […]
Statutory Liquidity Ratio (Slr)
The statutory liquidity ratio (SLR) is a measure of the liquidity of a bank, which is the ability of a bank to meet its current liabilities in full. Definition:The statutory liquidity ratio (SLR) is a required ratio of deposits to liquid assets that banks must maintain in order to ensure depositors’ funds are available in […]
Market Failure
Market Failure A market failure occurs when the spontaneous mechanisms of supply and demand fail to produce an efficient allocation of resources. There are various types of market failures, including: 1. Positive Externality:– Occurs when the production or consumption of a good or service generates positive effects on a third party, even though they are […]
Oligopoly
Oligopoly An oligopoly is a market structure in which a small number of large companies control a majority of the market share. These companies are typically dominant and have the ability to influence prices and market conditions. Characteristics of Oligopoly: Few large firms: Oligopoly markets are characterized by the presence of a few large firms […]
Market Power
Market Power Market power is the ability of a firm to influence the prices of its products or services in a particular market. Firms with market power have the ability to set their own prices, rather than being dictated by the market. Types of Market Power: Oligopoly: A market with a few large firms that […]
Fiscal Neutrality
Fiscal neutrality is a principle that aims to ensure that changes to the tax system do not have any significant impact on economic growth or inflation. It involves keeping the overall tax burden relatively constant while adjusting the tax rates on different income sources and assets to achieve a desired distribution of income. Key principles […]
Disguised Unemployment
Disguised Unemployment Disguised unemployment refers to the phenomenon where people are employed but not in jobs that match their skills, training, or education. This can occur due to a variety of factors, including: 1. Overqualification: When a person is employed in a job that requires less education or experience than they have, such as a […]
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