by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
[cite] Back to:ECONOMIC ANALYSIS & MONETARY POLICY Demand-Supply Analysis Explained In a market economy, the level of demand and supply of all goods and services jointly determines the price level and quantity of that good (or service) in the economy. A Little...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
[cite] Back to:ECONOMIC ANALYSIS & MONETARY POLICY Elasticity of Demand Definition Elasticity of demand is an economic term which denotes the rate of change of demand for goods and services due to change in prices and other economic variables (price, income, tax...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Fisher’s Separation Theorem?The Fisher’s separation theorem is an economic theory that states that the investment choices or decisions of a firm are independent of the investment preferences of the firms owners. This theorem postulates that a firm...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Pushing On A String?Pushing on a string is a metaphorical expression that states that influence is more effective when it works in one direction. In macroeconomics, pushing on a string is a strategy that reduces the effect of the central banks and the monetary...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is an Inflection Point?Inflection refers to a point in a graph showing the change of a curve from concave to convex. It is the point at which the curvature of the concavity of a curve changes. An inflection point occurs when the curve goes form concave downward...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Gibson’s Paradox?Gibson’s Paradox is an economic observation that posits that a positive correlation exists between the general price levels and nominal interest rates. This correlation has been observed over a long period of time. The Gibsons...
