Active Interest Rate Concept: Active Interest Rate refers to the interest rate charged by the banks for the money lent to their clients. Designates by…

Coase Theorem Concept: Coase Theorem (that in reality is a vision/confirmation and not a theorem) was formulated by Ronald Coase…

Discount Rate Concept: Discount rate designates the interest rate charged by the Central Banks in the loans given to the commercial banks through…

Game Theory Concept: Introduced in the 40’s by John von Neumann and Oskar Morgenstern through the book “The Theory of Games and Economic…

Fully Indexed Interest Rate Concept: Fully Indexed Interest Rate designates an interest rate normally used in loan contracts (especially in the…

Liquidity trap is the designation given to a monetary-financial event that occurs when the interest rate is very low.

Marginal Rate of Substitution Concept: Marginal Rate of Substitution (or Substitution Ratio) indicates the rate at which a consumer is…

Marginal rate of technical substitution Concept: Marginal rate of technical substitution (or Technical Substitution Ratio) represents a rate…

Passive Interest Rate Concept: Passive Interest Rate designates an interest rate that banks pay for the loans that obtain in the…

Permanent Income Hypothesis Concept: According to the Permanent Income Hypothesis, created by Milton Friedman, the consumers answer in…

Public Choice Theory Concept: Public Choice Theory is the branch of economic and politic sciences which studies the way how…

Quantity Theory of Money Concept: Quantity Theory of Money (also designated by Quantitative Theory of Prices) is a theory for determination of…

Tier 1 Concept: Tiers were a way found by the Basel Committee to categorize the equity elements of the financial…

Trade (or Transaction) Concept: The term trade (also designated by transaction) designates a transmission of property of a certain…

Work Concept: In the economic science scope, the term work designates one of the productive factors used by companies for…