Wednesday  December 6, 2023
 AmosWEB means Economics with a Touch of Whimsy!
 NONDURABLE GOOD: A good bought by consumers that tends to last for less than a year. Common examples are food and clothing. The notable thing about nondurable goods is that consumers tend to continue buying them regardless of the ups and downs of the business cycle.
 Most Viewed (Number) Visit the WEB*pedia

 Lesson 11: Circular Flow | Unit 2: Financial Markets Page: 7 of 22

 Topic: The Paper Economy <=PAGE BACK | PAGE NEXT=>

Financial markets divert national income from household consumption to business investment.
• Real side: Goods and resources, physical production used to satisfy wants and needs.
• Paper side: Legal claims on these physical goods and resources. Examples: Corporate stocks, government bonds, money, bank statements, mortgage contracts.
• Trading legal claims through financial markets diverts income from consumption to investment.
• A legal claim buyer gets the legal claim, but gives up income. The legal claim seller gives up the claim and takes possession of the income.
• Income is diverted from a legal claim buyer (lender, saver) to a legal claim seller (borrower) through the financial markets.Two additional flows: Saving and Investment.

| | |

COEFFICIENT OF ELASTICITY

A numerical measure of the relative response of one variable to changes in another variable. The coefficient of elasticity is used to quantify the concept of elasticity, including price elasticity of demand, price elasticity of supply, income elasticity of demand, and cross elasticity of demand. The coefficient can be calculated using the simple endpoint or midpoint formulas or with more sophisticated calculus and logarithmic techniques.

 YELLOW CHIPPEROON[What's This?] Today, you are likely to spend a great deal of time searching for a specialty store looking to buy either a wall poster commemorating last Friday (you know why) or a country wreathe. Be on the lookout for telephone calls from long-lost relatives.Your Complete Scope
 Junk bonds are so called because they have a better than 50% chance of default, carrying a Standard & Poor's rating of CC or lower.
 "Every man must decide whether he will walk in the light of creative altruism or in the darkness of destructive selfishness."-- Martin Luther King, Jr., clergyman
 NIANational Income Accounts
 Tell us what you think about AmosWEB. Like what you see? Have suggestions for improvements? Let us know. Click the User Feedback link.

| | | | | | | | | | |
| | | |

Thanks for visiting AmosWEB