by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is the Consumer Price Index?The Consumer Price Index (CPI) examines the aggregate prices of basket of consumer goods and services in an economy. Basket of goods and services refer to products commonly purchased by individuals and households such as food, gas,...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is the Affordability Index?The Affordability Index, also called the Housing index, measures the tendency of a family with to buy a home, based on their average income,. This index takes into an account the average family income, average price of the home and...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is Comparative Advantage?Comparative advantage refers to the capacity of a country to produce goods and services at an opportunity cost rate lower than other countries. Since the goods and services are produced at lower costs, they are also sold at lower prices....
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is a Command Economy?A command economy is an economy whereby all means of production are owned and controlled a central authority (the Government). How Does a Command Economy compare to a Planned Economy? A command economy constitutes a planned economy when the...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is the Breakfast Index?The Breakfast Index was created by Hard Assets Investor (HAI), it is a price indicator that measures inflation in wholesale food prices. The breakfast index captures the food items mostly consumed as breakfast, these are cocoa, coffee,...
by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy
What is the Value of Marginal Product (VMP)?The Value of Marginal Product (VMP) calculates the amount of a firm’s revenue that a unit of productive output contributes. VMP helps to prevent labor exploitation in industries.The Value of Marginal Product is a...
