by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Rational Expectations Theory?Rational expectations theory is an economic concept which asserts that individual agents do make decisions based on the markets available information and also learning from the previous trends. Based on this theory, there is an...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Wage Push Inflation?An increase in the price of goods caused by an increase in wages give rise to a wage push inflation. Simply put, a wage push inflation is a type of inflation in costs of goods as a result of increase in wages paid to workers. Once there is...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a W-Shaped Recovery?A W-shaped recovery is an economic chart that symbolises the period of recession and recovery in an economy. The W-shaped recovery is an approach in charting that reflects a double-dip recession in the economy. The W shape in the chart is...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is the Wage-price Spiral?The wage-price spiral is a theory that indicates the interrelationship between an increase in wages and an increase in prices of goods, it is otherwise known as inflationary spiral. It is a theory commonly used in the macroeconomic field....
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a U-Shaped Recovery?A U-Shaped Recovery is a chart used in depicting recession and recovery in an economy. It occurs when an economy undergoes a sharp decline in terms of GDP growth, employment rate and other factors of the economy before the economy recovers...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a Weak Currency?A nations currency that has a value depreciation while other currencies are experiencing value appreciation is a weka currency. When decrease in value is particular to one currency when compared to other currencies, the currency is said to be...