General equilibrium See general equilibrium analysis.
Equilibrium, macroeconomic equilibrium The willingness of total demand is equal to the GDP level of total supply willingness. In a balanced state, the total amount of willing consumption (C), government expenditure (G), investment (I) and net export (X) is exactly equal to the total amount that enterprises are willing to sell at the current price level.
Marginal laws such as the principle of equal margin determine the income distribution law between different consumer goods. According to this rule, consumers can choose the consumption combination, so that the marginal utility of every dollar spent on all goods and services is equal and the utility obtained by consumers is maximized.
See foreign exchange rate for exchange rate.
Exchange rate system A set of rules, arrangements and systems for payment between countries. The most important exchange rate systems in history are the gold standard system, the Bretton Woods system and the current floating exchange rate system.
Consumption tax Consumption tax is a tax levied on the purchase of a certain commodity or a group of commodities, such as wine and tobacco. Sales tax is a tax levied on all commodities except a few specific commodities (such as food).
Exclusion principle Exclusion principle distinguishes the attributes of private goods and public goods. When the producer sells a commodity to A, if B, C, D and others can be easily excluded from the process of enjoying the benefits of the commodity, the principle of exclusivity will play a role, and the commodity is therefore a private product. If we can't easily exclude others from the sharing process, such as public health or national defense, then we say that the commodity has the characteristics of public goods.
Exogenous variables and induced variables Exogenous variables and induced variables are variables determined by factors outside the economic system. Corresponding to exogenous variables are induced variables, which are determined by the internal operation of the economic system. For example, weather changes are exogenous variables, while changes in consumption are often caused by changes in income.
An expected view or opinion on uncertain factors, such as future interest rates, prices, or tax rates. If there is no systematic error (or deviation) in the expectation and all possible information is applied, it is called rational expectation. If people form their expectations according to past behaviors, they are called adaptability.
See Expenditure Multiplier for Expenditure Multiplier.
To export goods or services produced in China to other countries. Including goods (such as cars), services (such as transportation) and interest on loans and investments. Imports just flow in the opposite direction-goods and services flow from other countries into their own countries.
External diseconomy refers to the situation that production or consumption causes losses to others but others can't get compensation. For example, the smoke and sulfur-containing gas emitted by steel mills have damaged the property and health of local people, but the victims have not been compensated. Pollution is an external diseconomy.
External economy External economy refers to the situation that production and consumption can bring benefits to others without others having to pay the price. An enterprise employs security guards, which makes thieves afraid to move in nearby communities, thus providing external security services for residents. External economy and external diseconomy are usually called "externalities".
External variables External variables are the same as exogenous variables.
Externality Externality refers to an activity that has a favorable or unfavorable impact on others, but does not require others to pay a price or compensation for it. When the private cost or benefit is not equal to the social cost or benefit, externalities will occur. The two main types of externalities are external economy and external diseconomy.
F
Productive inputs, such as labor, land and capital. The resources needed to produce goods and services are also called "inputs".
Combinatorial fallacy Combinatorial fallacy misunderstands that what is true for individuals is also true for groups or the whole system.
The Federal Reserve System, the United States Central Bank.
Legal tender legal tender has no intrinsic value, but it is legal and effective by the government, such as today's paper money. Legal tender will only take effect if the public believes it will be accepted.
End product The end product is a product for end use rather than resale or further processing. (See "Intermediate Products")
A branch of financial economics. Analyze how rational investors use funds and invest in the most effective way to achieve their goals.
Financial intermediary An institution that accepts savings deposits and lends them to borrowers. Including deposit institutions (such as commercial banks and savings banks) and non-deposit institutions (such as money market funds, brokers, insurance companies or pension funds).
Trade name (trading company) is the basic private production unit in the economic system of manufacturers (enterprises). It employs labor and buys other inputs to manufacture and sell goods.
Fiscal and monetary policy combination A combination of fiscal and monetary policies used to intervene in macroeconomic activities. Tight monetary policy and loose fiscal policy tend to encourage consumption and curb investment. Loose monetary policy and tight fiscal policy have opposite effects.
Fiscal policy, government plan. Contents include: (1) purchase and transfer payment of goods and services; (2) the number and types of taxes.
See "Fixed Cost" for the fixed cost of financial cost.
Fixed exchange rate See foreign exchange rate for fixed exchange rate.
Flexible exchange rate The flexible exchange rate system is an international exchange rate system. Under this system, the exchange rate is mainly determined by market forces (that is, the relationship between supply and demand), and the government does not set and maintain a specific exchange rate. Sometimes called "floating exchange rate". When the government does not intervene in the foreign exchange market, this system is called pure floating exchange rate system.
Floating exchange rate refers to the flexible exchange rate of floating exchange rate system.
Flow versus stock flow and stock flow refer to quantities that have a time span or change cumulatively over a period of time (just like water flowing through a river section). A stock refers to the size of a variable at a certain point (like water in a lake). Income represents the annual inflow of dollars, so it is the flow. By the end of1998,65438+February, someone's wealth is a stock.
Foreign exchange currency (or other financial instruments) used by countries to pay debts owed to other countries.
Foreign exchange market A market where currencies of different countries are traded.
The exchange rate or price of a country's currency with other countries' currencies. For example, you can use 1 USD to buy 19 Deutsche Mark, so the exchange rate of the mark is 19. If a country's currency is pegged to a certain exchange rate level and ready to defend this exchange rate at any time, it is said that the country has a fixed exchange rate system. The exchange rate determined by market supply and demand forces is called flexible exchange rate.
Concentration rate of four companies.
Part-reserve banking system Part-reserve banking system is a form of supervision in modern banking system. According to the law, relevant financial institutions must reserve a certain percentage of deposits in the form of central bank deposits (or cash on hand).
Free goods Free goods are not economic goods. For example, air or sea water is abundant all over the world and does not need to be distributed among demanders. Therefore, the market price of these items is zero.
Free trade government's policy of not interfering in international trade through tariffs, quotas or other forms.
Friction unemployment Friction unemployment is temporary unemployment caused by individual market changes. For example, inexperienced workers need to spend time comparing and choosing different job opportunities; Even experienced workers often need to spend a small amount of time changing jobs. Friction unemployment is different from cyclical unemployment, which is caused by the low level of total demand when wages and prices are sticky.
Full employment Full employment is a term with multiple meanings. Historically, it has been used to describe the employment level when there is no (or only minimal) involuntary unemployment. Today, economists use the concept of the lowest sustainable unemployment rate (LSUR) to describe the highest level of employment that can be sustained for a long time.
G
Trade gains Voluntary trade increases total welfare. Equal to the sum of consumer surplus and producer surplus.
Rapid inflation.
Game theory is an analysis of the situation of two or more decision makers who have at least some conflicts of interest. In addition to bargaining situations such as strikes and conflicts such as competition and war, it can also be used to analyze the interaction of oligopoly markets.
General equilibrium analysis generally analyzes the overall equilibrium state of the economy. At this time, all goods and services markets are in equilibrium at the same time. The corresponding partial equilibrium analysis only studies the equilibrium of a single market.
GDP contraction index GDP contraction index GDP price. This price index is used to measure the average price of each component of GDP relative to the base year.
The difference between the potential GDP and the actual GDP.
For the gross national product, see Glossy Gross National Product.
The gold standard warehouse system refers to such a system: a country (1) declares that its monetary unit is equivalent to a certain weight of gold; (2) Holding gold reserves and freely buying and selling gold at the published price; (3) There are no restrictions on the import and export of gold.
Government debt The total amount of government debt in the form of bonds and short-term loans. Except for bonds held by quasi-government institutions (such as the central bank), government debt is generally held by the public.
Multiplier of government expenditure Every dollar increase in government procurement and other expenditures doubles the gross domestic product.
For progressive income tax, please refer to income tax (individual).
Gresham's Law Gresham's Law was written by Thomas? Sir Thomas Gresham (adviser to Queen Elizabeth I of England) first put forward his own view in 1558, Bad money drives out good money: when the public has doubts about a certain part of money supply, they will hoard "good money" and try to transfer "bad money" to him.
Gross domestic product (GDP) Nominal GDP (or nominal GDP) The value of all the final output produced by a country in a year at the current market price.
Gross domestic product (GDP) is the real real GDP after deducting inflation, that is, real GDP- nominal GDP divided by GDP contraction index.
Gross National Product (GNP) The value of all final products and services produced by a country using its factors according to the current market price.
Gross national product (GNP) The GNP after inflation is taken into account and deducted, that is, actual GNP- nominal GNP divided by GNP contraction index.
Growth accounting is an analytical technique to estimate the contribution of different factors to economic growth. With the help of marginal productivity theory, growth accounting decomposes the source of output growth into labor, land, capital, education, technical knowledge and other elements.
H
Hedging is an investment technique to avoid risks by hedging transactions. For example, if the wheat grown on the farm is harvested in autumn, farmers can sell the same wheat as in spring or summer, thus offsetting the risk of price fluctuation. Or, to achieve hedging.
See monetary base of high-energy currency.
Horizontal fairness and vertical fairness Horizontal fairness refers to giving equal or fair treatment to people in similar situations, emphasizing that people with the same basic situation should receive the same treatment. Vertical equality means that people in different situations should be treated equally.
Horizontal integration See vertical and horizontal integration.
Horizontal integration (horizontal merger).
Human Capital The technical knowledge and skills contained in a country's labor force come from the investment in formal education and on-the-job training.
Hyperinflation.
Imperfect competition. See also imperfect competition.
Incomplete competitor A manufacturer whose purchase or sales amount is enough to affect its market price level.
Hidden cost elements Although hidden cost elements are not explicit monetary costs, they should also be accounted for as explicit monetary costs (such as the labor costs of shopkeepers). Hidden cost is sometimes called "opportunity cost", but the latter has a broader meaning.
Import and export.
Non-distributability. See Non-distributability.
No possession can be used to describe resources whose personal use cost is zero or whose personal cost is lower than the total social cost. These resources have externalities. Therefore, from the social point of view, the market allocation of such resources is inefficient.
The final economic burden of a tax (corresponding to the statutory taxpayer). For example, sales tax, ostensibly paid by retailers, is very likely to be passed on to consumers. In the final analysis, the tax destination depends on the price elasticity of supply and demand.
Income refers to the increase in wages, interest, dividends and other income flows of individuals or countries within a certain period (usually one year).
Income effect (refers to price change) Income effect The change of commodity price will cause the change of consumers' actual income, which in turn will lead to the change of demand for the commodity. The income effect of price change is a supplement to the substitution effect of price change.
Income Elasticity of Demand The demand for any given item is affected not only by the price of the item, but also by the income of the buyer. Income elasticity is used to measure the sensitivity of commodity demand to income. Its precise definition is: the percentage change of demand divided by the percentage change of income. [See price elasticity of demand.
Demand)].
Income statement A statement of a company that reports the sales revenue or income, the reasonable cost of goods sold, and the remaining profit (net income) after deducting the cost for a certain period (usually one year). Also known as the income statement.
See negative income tax for negative income tax.
Income tax Personal income tax levied on personal income. Income includes income from assets such as wages, salaries or rents, dividends and interest. In the United States, personal income tax is graded, that is, the average tax rate of high-income people is higher than that of low-income people.
See the money circulation speed for the income turnover rate of the money circulation speed.
Income policy Income policy aims to directly limit the changes in wages and prices to slow down inflation. Including various forms: from voluntary wage-price guidance to direct legal control of wages, salaries and prices, and so on.
Increasing returns to scale See Increasing returns to scale.
Independent commodity Independent commodity needs independent commodity. More precisely, other things being equal, if the price change of product A has no effect on the demand of product B, then A and B are called independent products.
Indexing (or indexation) Indexing is a mechanism: wages, prices and contracts are partially or completely adjusted with the change of general price level to offset the influence of the change of price level (partially or completely).
Indifference curve The two axes of indifference curve respectively represent a curve in the plane coordinates of different commodity consumption. Every point on the line (representing different combinations of two commodities) can bring exactly the same degree of utility satisfaction to a given consumer.
Indifference graph indifference curve is a graph with indifference curve of a consumer's family. This family of curves is usually located at the upper right of the origin, and the farther away from the origin, the higher the satisfaction or level.
For indirect taxes, please refer to direct taxes.
The induced variables are exogenous variables and induced variables.
A series of enterprises that produce similar or identical products.
Inertial inflation rate Inertial inflation rate is a continuous inflation process. When people expect inflation to continue, and the current inflation rate is reflected in the contracts signed and the expectations formed, inertial inflation will occur.
Infant industry in foreign trade theory refers to an industry that does not have the experience or professional knowledge needed to realize economies of scale. This kind of experience or professional knowledge is necessary to successfully compete with foreign mature industries that produce the same goods. In the process of development, infant industries usually think that they need the protection of tariffs or quotas.
Items in which the consumption of inferior products or inferior products decreases with the increase of income.
Inflation (or inflation rate) Inflation rate refers to the annual growth rate of the total price level. Hyperinflation refers to the situation that the inflation rate is extremely high (for example, 1000%,1000 million or even1000 million per year). Hyperinflation refers to the situation of 50%, 100% or 200% every year. Moderate inflation
Ion) refers to the price increase that does not seriously distort the relative price or income.
Inflation Target The government's policy to control inflation: The government sets inflation targets, announces the range of inflation rate fluctuations, and makes it clear that the primary goal of monetary policy is low and stable inflation. In recent years, many industrial countries have adopted tough or flexible inflation targeting policies.
Innovation with Joseph? Joseph schumpete has a closely related term. Schumpeter gave it three meanings: (1) introducing a brand-new and obviously different product to the market; (2) Introducing new production technologies; Or (3) developing new markets. [See invention. 〕
Inputs Inputs [or factors of production] refer to goods or services used by enterprises in the production process.
A mechanism of insurance: to reduce the risks faced by individuals and make up for the huge losses that individuals may suffer by spreading the risks to many people.
The production process of vertical integration and horizontal integration consists of many production stages, such as iron ore processing into steel ingots, steel ingots processing into steel plates, and steel plates processing into automobile bodies. Vertical integration refers to merging two or more stages of the production process into one enterprise (for example, iron ore and steel ingot). Horizontal integration refers to merging different units in the same production stage into one enterprise.
Intellectual property rights (intellectual property rights) is a law governing the intellectual property rights of commodities with information as the main content, such as patents, copyrights, trade secrets and electronic media. These laws usually give inventors control and compensation in the process of reproduction.
Interest income earned by people who lend money to others.