Constant Prices refer to prices that have been adjusted to remove the effects of inflation, using a base year as a reference to enable consistent comparison over time.
A comprehensive explanation of Cross-Price Elasticity, including its historical context, types, key events, mathematical formulas, applicability, and real-world examples.
An in-depth exploration of deflation, a situation marked by a general decrease in prices, output, employment, and trade, and its impact on the economy.
A comprehensive guide to understanding individual demand, exploring its definition, significance, and factors that influence it.
Understanding inflation, its types, causes, historical context, and implications on the economy.
Learn about the differences and implications of List Price and Discounted Price in consumer transactions.
Detailed information about current market conditions, including prices, bid-ask spreads, and volume.
An in-depth analysis of the part of the real cost of inflation attributed to the cost of revising prices, known as menu costs of inflation.
Explore the concept of nominal prices, which reflect the current prices of goods and services without adjusting for inflation. Understand their significance in economics, their differences from real prices, and their practical applications.
An in-depth look into pecuniary externalities, their mechanisms, historical context, and implications in economic theory.
The price mechanism refers to the role of prices in a market economy in conveying information, providing incentives, guiding choices, and allocating resources.
Detailed exploration of government attempts to control prices and incomes directly through policies, their historical context, types, key events, implications, examples, and related terms.
An in-depth exploration of real prices, which are adjusted for inflation to reflect true cost in constant dollars. Includes historical context, types, key events, mathematical models, charts, importance, applicability, examples, related terms, and more.
An exploration of the economic concept of stickiness, explaining why certain variables, notably prices and wages, resist changes despite shifts in supply and demand. Factors such as long-term contracts and menu costs contribute to this phenomenon.
A comprehensive analysis of the Wage-Price Spiral, its historical context, mechanisms, and implications in economics.
An extensive overview of wholesale prices, including their definition, historical context, types, key events, formulas, and importance. Explore related terms, comparisons, interesting facts, and more.
An in-depth exploration of Demand-Pull Inflation, a phenomenon where prices rise because demand for goods and services exceeds supply.
Fluctuation refers to the change in prices or interest rates, either upward or downward, that can apply to the prices of stocks, bonds, commodities, or economic conditions.
Hoarding refers to the excess accumulation of commodities or currency in anticipation of scarcity and/or higher prices. This entry delves into its various aspects, types, historical context, and implications.
Jawboning refers to attempts to persuade others to act in a certain way by using the influence or pressure of a high office. It often involves public criticism, such as that by federal administrations toward wage or price increases deemed unreasonable.
An in-depth exploration of the substitution slope, illustrating the relationship of the substitution of any pair of goods with respect to one another in the context of a given income and varying prices.
The Wage-Price Spiral is a macroeconomic situation in which rising prices lead to higher wages, which in turn cause increased production costs and further price hikes, creating a continuous cycle. This term is crucial for understanding inflationary pressures and economic policy responses.
Wage-Push Inflation occurs when increasing wages are not offset by increasing productivity, leading to higher costs and subsequently higher prices for goods produced.
