Questions tagged [economic-terms]

53 questions
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Why are ecology and economics seemingly disjunct topics?

The words ecology and economy are very similar. Ecology derives from the words οἶκος + λογία, i.e. the study of the house/household. Economy derives from the words οἶκος + νόμος, i.e. the laws of the house/household. In modern usage, ecology…
gerrit
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Why was 'structural' chosen to mean 'structural unemployment'?

Source: Economics (3 ed, 2014) by N Gregory Mankiw, Mark P. Taylor structural unemployment [=] unemployment that results because the number of jobs available in some labour markets is insufficient to provide a job for everyone who wants…
user4020
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Why does economics use "rent" to mean income from a factor of production that exceeds the minimum amount necessary to beget that factor of production?

This economics meaning of "rent" is confusing to laypeople because it differs from the lay meaning of "rent" (tenant's regular payment to a landlord for the use of property or land)! Because "rent" is such a popular word, why do economists still use…
user34960
3
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Willingness to accept is different from willingness to pay - is there a name for this

Given the situation below, can someone help me identify/name the logical phenomenon? So I own a laptop that I don’t use…. Someone has offered me £1000 dollars for it but I decided not to sell it. I myself would NOT pay £1000 dollars for it… I feel…
Anthony Phan
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Is there a term that describes the idea "I've already spent this much, I might as well pay a little more to get what I want"?

I came across this idea while looking to buy a house and I wondered if there was a term for it. The initial purchase options have a linear cost to value relationship. However, I'm tempted to make a larger purchase than planned because the additional…
RWL01
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Is there a relation between market capitalization and revenues?

The company 3M has at this moment an anual revenue of \$33 billion and a market capitalization of \$102 billion. Therefore market cap is 3 times higher than revenues. For Chevron the rate si 2.3. For Tesla it is a whooping 33 Is there any study…
Joe Jobs
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Elasticity and its types

Does 'infinitely elastic' and 'inelastic' pertain to same meaning? What is the difference between them? Please explain in brief.
user17997
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Name for the maximum willingness to pay of other market participants

Suppose there is an auction for a unique good, say an original piece of artwork. There are many potential buyers, including buyer X. Each buyer has a unique reserve price, or willingness to pay. If X's reserve price is the highest, then X wins…
ivme
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Correct scientific term to describe this system property

I am from a non-economic background so please bare with me. I have a crowdsourcing system that enables businesses to request individuals to perform certain tasks in exchange for a monetary payment. For any task t, the business pays an amount of p…
retVI23
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Term for when using a single number is used instead of a function?

A cost per unit could be 20, but it could also be 20 + 2q (in the cast of the latter, the cost per unit is a function whose result increases with each unit produced). What is the term to describe when a single number is used where we could also…
stevec
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"manufacturing sector" vs. "manufacturing industries"

From a tutorial The main sectors of the economy are: Primary sector, Secondary / manufacturing sector, Service / ‘tertiary’ sector, Quaternary sector which uses the word "sector", so does Wikipedia. While some other posts, e.g. the Cambridge…
JJJohn
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Use of the term "effective" in economics

I've seen the terms "effective demand" and "effective wages" bandied about in papers, but I'm not sure what these refer to. Please could someone explain both these concepts? Thanks!
ABCBAA
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What does Mohamed El-Erian mean by "recovery value of assets"?

Pls see the emboldened phrase. Investors must prepare portfolios for Covid-19 debt crunch | Financial Times The financial stress caused by Covid-19 is far from over. Investors should brace for non-payments to spread far beyond the most vulnerable…
user4020