Economics

Economics

basics of economics

Contributors in Economics

Economics

Value at risk models, widely used for risk management by banks and other financial institutions, use complex computer algorithms to calculate the maximum that the institution could lose in a single ...

Variable costs

Economy; Economics

Part of a firm's production costs that changes according to how much output it produces. Contrast with fixed costs. Examples include some purchases of raw materials and workers' overtime payments. In ...

Velocity of circulation

Economy; Economics

The speed with which money whizzes around the economy, or, put another way, the number of times it changes hands. Technically, it is measured as GNP divided by the money supply (pick your own ...

Venture capital

Economy; Economics

Private equity to help new companies grow. A valuable alternative source of finance for entrepreneurs, who might otherwise have to rely on a loan from a probably risk averse bank manager. The United ...

Vertical equity

Economy; Economics

One way to keep taxation fair. Vertical equity is the principle that people with a greater ability to pay should hand over more tax to the government than those with a lesser ability to pay. (See ...

Vertical integration

Economy; Economics

Merging with a company at a different stage in the production process, for instance, a car maker merging with a car retailer or a parts supplier. Unlike horizontal integration, it is likely to raise ...

Visible trade

Economy; Economics

Physical exports and imports, such as coal, computer chips and cars. Also known as merchandise trade. Contrast with invisible trade. (See balance of payments. )