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March 20, 2023 

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COMMERCIAL PAPER: Short-term negotiable financial instruments, or promissory notes, sold by corporations to raise working capital. The maturity length of commercial paper is less than a year, often 30, 60 or 90 days. The corporations who issue commercial paper are usually the largest, most stable, and most profitable businesses in the country.

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SHORT-RUN EQUILIBRIUM: The condition that exists for the aggregate market when the product and financial markets are in equilibrium, but the resource markets are not. This condition results in the short run because of worker misperceptions about real wages and/or rigid wages and prices. It is represented by the intersection of the AD (aggregate demand) curve and the SRAS (short-run aggregate supply) curve and can be greater than or less than full employment.

     See also | aggregate market | short-run aggregate market | product markets | financial markets | resource markets | inflexible wages | aggregate demand curve | short-run aggregate supply curve | full employment | recessionary gap | inflationary gap | long-run equilibrium | self-correction, aggregate market |


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SHORT-RUN EQUILIBRIUM, AmosWEB GLOSS*arama, http://www.AmosWEB.com, AmosWEB LLC, 2000-2023. [Accessed: March 20, 2023].


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RESOURCE PRICES, SUPPLY DETERMINANT

The prices of the resource inputs that affect production cost and the ability to sell a particular good, which are assumed constant when a supply curve is constructed. An increase in resources prices causes a decrease in supply and a decrease in resource prices causes an increase in supply. Resources prices are one of five supply determinants that shift the supply curve when they change. The other four are production technology, other prices, sellers' expectations, and number of sellers.

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