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BEAR MARKET: A condition of the stock market in which stock prices are generally declining and most of the participants expect this decline to continue. In other words, the stock market is into an extended period of "hibernation" that could last for months or even years. This isn't the same as a "crash" of falling stock prices over a short time (like one day). A bear market usually occurs because investors see a sluggish, stagnant economy with few signs of robust growth.

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PURE COMMAND ECONOMY: An economy in which the government makes all allocation decisions and answers all three questions of allocation. There are no markets. Government does it all. This is a theoretical ideal or extreme that does not actually exist in the real world. As a theoretical ideal, though, it does provide a benchmark that can be used for comparison with real world economic systems.

     See also | economy | economic system | government | command economy | allocation | three questions of allocation | market | pure market economy | mixed economy | communism | socialism | capitalism |


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INTEREST RATES, AGGREGATE DEMAND DETERMINANT

One of several specific aggregate demand determinants assumed constant when the aggregate demand curve is constructed, and that shifts the aggregate demand curve when it changes. An increase in interest rates cause a decrease (leftward shift) of the aggregate curve. A decrease in interest rates an increase (rightward shift) of the aggregate curve. Other notable aggregate demand determinants include the federal deficit, inflationary expectations, and the money supply.

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Today, you are likely to spend a great deal of time looking for the new strip mall out on the highway trying to buy either a coffee cup commemorating the moon landing or a how-to book on surfing the Internet. Be on the lookout for the last item on a shelf.
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