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Economy
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accommodative monetary policy
An accommodative monetary policy is an effort by the U.S. Federal Reserve Board or another central bank to stimulate its  more...
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back door financing
Back door financing is a method used by U.S. government agencies to bypass congressional appropriations (the conventional way of obtaining  more...
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balanced budget
A balanced budget is a budget in which income equals expenditures. In other words, if a country takes in X  more...
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base interest rate
The base interest rate is the lowest interest rate that investors will accept for investing in a non-Treasury security.  more...
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basis point
Yields on fixed-income securities fluctuate regularly, but may change only within hundredths of a percentage point. These small variations are  more...
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bear market
A bear market is a market in which prices decline against a background of widespread pessimism (the opposite of bull  more...
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Beige Book
The Beige Book is a "Summary of Commentary on Current Economic Conditions by Federal Reserve District," as its formal title  more...
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Board of Governors
A Board of Governors is the collective name given to the individuals who oversee the operation of an institution directly  more...
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boom
A boom refers to a rising financial market. Another term for boom would be a bull market. During a stock  more...
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buyer's market
A buyer's market is any market in which there are more sellers than there are buyers. The laws of supply  more...
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capacity utilization rate
The capacity utilization rate is the value of production capacity which is actually being utilized over a specific period of  more...
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capitalism
Capitalism is a market-driven economy, characterized by private ownership and use of resources owned for profit without restrictions. Individuals and  more...
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Central Bank
A central bank is fundamentally a chief bank of a given nation. The essential responsibilities of the central bank include  more...
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coincident indicator
A coincident indicator is an economic indicator that measures the current state of the economy of a nation. The coincident  more...
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COLA
COLA, or cost-of-living adjustment, is an act of adjusting wages to create economic balance for the changes in the cost  more...
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command economy
A command economy, also called planned economy, is directly controlled by the government. The state owns all property and  more...
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confidence indicator
A confidence indicator gauges the optimism of a group of participants in an economy or a securities market. Perhaps the  more...
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constant dollar GDP
Constant dollar GDP is gross domestic product adjusted for price changes. Gross domestic product is the total market value of  more...
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constant dollars
Constant dollars are dollars that have been adjusted for the impact of inflation, as opposed to current dollars, which are  more...
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consumer confidence
Consumer confidence is an attempt to measure the public's perception of the state of the economy. Consumer confidence readings  more...
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consumer confidence index
The Consumer Confidence Index (CCI) gauges the level of optimism of Americans toward the U.S. economy. The Consumer Confidence Index  more...
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Consumer Price Index
The Consumer Price Index, also known as the CPI, is released monthly by the US Department of Labor. It measures  more...
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cost-of-living index
A cost-of-living index measures the changes of prices consumers pay for a fixed basket of goods and services over time.  more...
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countercyclical
A trend is countercyclical if it moves in the opposite direction of the business cycle. For instance, the US  more...
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CPI
CPI is the common abbreviation for the Consumer Price Index, which measures the change in prices urban Americans pay for  more...
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current dollars
Current dollars (also known as "nominal dollars") are dollars in the year they were actually received or paid, unadjusted for  more...
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cycle
A cycle is a recurring pattern, usually wavelike. In business there are a few common patterns like this, such  more...
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cyclical
When entire industries and the companies within them are characterized as cyclical or non-cyclical it is typically, but not always,  more...
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cyclical stock
A cyclical stock is one whose profits are highly correlated with the business cycle. When the economy is in expansion,  more...
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deflation
Deflation is a broad decline in prices. Deflation occurs when the prevailing demand cannot absorb the supply of goods. Companies  more...
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deflator
A deflator is used to convert current dollars into dollars that are adjusted for price changes. Because price levels change  more...
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demand
Demand is an economic measure, which expresses a desire, as well as the ability to pay for goods and services.  more...
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demand elasticity
Demand elasticity, also known as price elasticity of demand, is a concept economists use to measure price sensitivity. In principle,  more...
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depression
In economics, a severe and prolonged recession is sometimes called a depression. Unlike a recession, no standard definition of  more...
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deregulation
Deregulation is an act by which the government regulation of a particular industry is reduced or eliminated in order to  more...
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diminishing return
Diminishing return, or the law of diminishing return, is an economic tenet, which provides that adding additional units of productivity  more...
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disinflation
Disinflation occurs when the overall rate of inflation decreases over a given time period. With inflation being an increase of the  more...
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downturn
A downturn is a worsening of business or economic activity. It may be related to a decline in a  more...
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durable goods orders
The durable goods orders report is issued monthly by the Department of Commerce and measures the dollar volume of new  more...
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econometrics
Econometrics literally means “to measure economy”. Thus, econometrics is a statistical and mathematical modeling approach to the study of economics.  more...
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economic cycle
The economic cycle is the periodic fluctuation of the economy between periods of growth and contraction. The major phases of  more...
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economist
An economist is a professional in the field of economics, the social science that examines how individuals and societies use  more...
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Employment Cost Index
The Employment Cost Index, or ECI, is a quantitative measure of proliferation of wages and other employee compensation. The Employment  more...
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Fed Chairman
The Fed Chairman is the Chairman of the Board of Governors of the Federal Reserve System, or Fed, the US  more...
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Federal Open Market Committee
The Federal Open Market Committee, or FOMC, is an arm of the Federal Reserve System, the US central bank. The  more...
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Federal Reserve Bank
The Federal Reserve Bank is a federal entity that performs the operations of central bank. Along with twelve other  more...
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Federal Reserve Board
The Federal Reserve Board is the Board of Governors of the Federal Reserve System, or Fed, the US central bank.  more...
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Federal Reserve Discount Rate
The Federal Reserve discount rate is the interest rate charged by the Federal Reserve (the Fed) when commercial banks and  more...
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Federal Reserve requirement
The federal reserve requirement is the amount of liquid assets that Federal Reserve System banks must hold. The federal  more...
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Federal Reserve System
In the United States, the Federal Reserve System was established in 1913 by the Federal Reserve Act. The primary basis  more...
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GDP
In economics, GDP means Gross Domestic Product. GDP is defined as the value of all goods and services produced  more...
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GDP implicit price deflator
The GDP implicit price deflator measures the level of price change in the U.S. economy. The GDP implicit price deflator  more...
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Great Depression
The Great Depression was the longest and most severe business slump in U.S. history. The Great Depression began with the  more...
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hyperinflation
Hyperinflation is the extremely rapid escalation of prices (typically more than 50% per month) for goods and services. The  more...
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IMF
The IMF, or International Monetary Fund, was conceived at the Bretton Woods UN conference in July 1944. The purpose  more...
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index
An index is a hypothetical basket of securities or economic variables designed to track changes over time. The most common  more...
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indicator
Indicators are used by market timers to try and divine future market action. There are three primary varieties of indicators;  more...
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inefficient market
An inefficient market is one in which assets are underpriced or overpriced by market participants. According to the efficient  more...
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inflation
Inflation is a broad increase in prices. In practical terms, inflation means goods and services are being valued as more  more...
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inflation rate
The inflation rate is the increase in prices for a basket of goods and services expressed on a yearly  more...
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invisible hand
Adam Smith coined the phrase invisible hand in his 1776 magnum opus, The Wealth of Nations. Usually stated more  more...
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Keynesian Economics
Keynesian economics, also called Keynesianism, is named for economist John Maynard Keynes. His 1936 book "General Theory of Employment,  more...
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labor force
In macroeconomic statistics, the labor force is the sum of all employed and unemployed adults. The Bureau of Labor  more...
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lagging indicator
A lagging indicator is an economic statistic that changes after macroeconomic conditions have already changed. The lagging indicator is  more...
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laissez-faire
Literally, laissez-faire is French for "let it be." More usefully, laissez-faire is a philosophy that favors government keeping its hands  more...
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leading indicator
A leading indicator is a statistic that predicts trends in the economy or a particular industry. For example, the number  more...
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M1
In the US, M1 is a narrow measure of the money supply. M1 is defined as all currency in  more...
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macroeconomics
Macroeconomics is the study of the behavior of the overall economy. Thus macroeconomics focuses on broad-based indicators of national economic  more...
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market economy
In political economics, a market economy is an economy where market forces set prices. The market economy is distinct  more...
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microeconomics
Microeconomics is the branch of economics that deals with individuals, companies, and industries. Microeconomics does not deal with performance of  more...
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misery index
The misery index is the unemployment rate plus the inflation rate. Reflecting its unhappy name, however, the misery index is  more...
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monetary policy
Monetary policy is the management of a nation’s money supply to achieve economic goals by a central bank or currency  more...
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money supply
In macroeconomics, the money supply is the amount of money in use in an economy. There are multiple measures  more...
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multiplier effect
The multiplier effect describes how an increase in some economic activity starts a chain reaction that generates more activity than  more...
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OECD
The OECD, or Organization for Economic Cooperation and Development is an international organization focused on economic and social issues.  more...
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per capita income
Per capita income is the average income for each person in a particular group. Most commonly, per capita income is  more...
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Personal Consumption Expenditures
Personal consumption expenditures, also known as PCE, are all funds spent on goods and services intended for individual consumption or  more...
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price index
A price index measures the changes over time in prices paid by consumers, producers, or some other group. The Consumer  more...
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Producer Price Index
The Producer Price Index (PPI) comprises a group of indexes that measures price changes for goods and services at  more...
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real GDP
Real GDP is gross domestic product in constant dollars. In other words, real GDP is a nation's total output of  more...
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unemployment
Unemployment describes the state of a worker who is able and willing to take work but cannot find it. As  more...
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vertical integration
In strategic management and microeconomics, vertical integration is the consolidation of upstream (suppliers) and/or downstream (customers) components of the value  more...
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World Bank
The World Bank is an international institution, owned by about 180 member countries, that provides financial and technical assistance to  more...
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World Trade Organization
The World Trade Organization (WTO) is an international body that seeks to foster free trade and resolve trade issues among  more...
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year-over-year
Year-over-year is a term used frequently in investment research and other reports to mean "compared with the same period in  more...
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