by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a Trough (Economy)?A trough is a period which signifies that a country’s economy or business cycle has stopped declining. Troughs usually signify that economic decline has now turned in the opposite direction, and the economy is either growing or...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Welfare Economics?Welfare economics emphasizes on the effective utilization and distribution of resources, and further studies what impact this distribution holds on social welfare. This is directly associated with the analysis of how income is distributed,...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Economic Equilibrium?Equilibrium is the economic condition where market demand and market supply are equal to each other, which ultimately brings stability in the price levels. Normally, when the supply of goods and services exceeds over time, it causes a...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a What-If Calculation?A what-if calculation refers to an output that a financial model offers by using several assumptions or cases. What if a variable x is inserted into the model, what will be the final output? What-if calculations help an economist in...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is the Lipstick Effect?Lipstick effect is a term used to refer to a situation where consumers still manage to buy a luxury product like lipstick, amid an economic crisis. When there is a recession, consumers are expected to focus their purchase on goods that...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a Weightless Economy?Weightless economy includes the products and services that cannot be seen or touched. Some of the examples of products that a weightless economy includes are computer software, intellectual property, music, movies, etc. Firms that...
