Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: tax advisor, finance, inventory, financial advisor, accounting, inventory control, business, stock trading,
Definition of Disequilibrium
The absence of equilibrium. disequilibrium implies excess demand or excess supply and pressure for change.
The second-largest stock exchange in the United States. It trades
General term for a document demanding payment.
Sources of funds internally provided from operations that alter a company's
A not-for-profit corporation owned by its members. Its primary
The location of five New York futures exchanges: Commodity
Convertible preferred stock that may be exchanged, at the
Checking accounts that pay no interest and can be withdrawn upon demand.
A bank line of credit that enables a customer to borrow on a daily or on-demand basis.
Short-term securities that are repayable immediately upon the holder's demand.
An event that affects the demand for goods in services in the economy.
The exchange of information electronically, directly from one firm's
The slope of the capital market line (CML). Since the CML represents the
The interest rate that clears the market. Also called the market-clearing interest
Any excess of actual reserves above required reserves.
The difference between the return on the market portfolio and the
Also called abnormal returns, returns in excess of those required by some asset pricing model.
The marketplace in which shares, options and futures on stocks, bonds, commodities and indices
A nickname for the New York stock exchange. Also known as the Big Board. More than
Governmental restrictions on the purchase of foreign currencies by domestic citizens or
Exchange of assets
Acquisition of another company by purchase of its assets in exchange for cash or stock.
Exchange of stock
Acquisition of another company by purchase of its stock in exchange for cash or shares.
An offer by the firm to give one security, such as a bond or preferred stock, in exchange for
The price of one country's currency expressed in another country's currency.
Exchange Rate Mechanism (ERM)
The methodology by which members of the EMS maintain their
Exchange rate risk
Also called currency risk, the risk of an investment's value changing because of currency
The variability of a firm's value that results from unexpected exchange rate changes or the
Security that grants the security holder the right to exchange the security for the
A country's decision to tie the value of its currency to another country's currency, gold
Floating exchange rate
A country's decision to allow its currency value to freely change. The currency is not
The amount of securities believed to be available for immediate purchase, that is, in the
Currency from another country.
Foreign exchange controls
Various forms of controls imposed by a government on the purchase/sale of
Foreign exchange dealer
A firm or individual that buys foreign exchange from one party and then sells it to
Foreign exchange risk
The risk that a long or short position in a foreign currency might have to be closed out
Foreign exchange swap
An agreement to exchange stipulated amounts of one currency for another currency
Forward exchange rate
Exchange rate fixed today for exchanging currency at some future date.
Gold exchange standard
A system of fixing exchange rates adopted in the Bretton Woods agreement. It
demands for securities to hedge particular sources of consumption risk, beyond the usual
Historical exchange rate
An accounting term that refers to the exchange rate in effect when an asset or
London International Financial Futures Exchange (LIFFE)
A London exchange where Eurodollar futures
London International Financial Futures Exchange (LIFFE)
London exchange where Eurodollar futures as well as futures-style options are traded.
Money market demand account
An account that pays interest based on short-term interest rates.
M1-A: Currency plus demand deposits
This is the difference between a day's last trade and the previous day's last trade.
New York Stock Exchange (NYSE)
Also known as the Big Board or The Exhange. More than 2,00 common
Nominal exchange rate
The actual foreign exchange quotation in contrast to the real exchange rate that has
A securities marketplace wherein purchasers and sellers regularly gather to trade
Philadelphia Stock Exchange (PHLX)
A securities exchange where American and European foreign
Precautionary demand (for money)
The need to meet unexpected or extraordinary contingencies with a
Raw material supply agreement
As used in connection with project financing, an agreement to furnish a
Real exchange rates
Exchange rates that have been adjusted for the inflation differential between two countries.
Securities & Exchange Commission
The SEC is a federal agency that regulates the U.S.financial markets.
SIMEX (Singapore International Monetary Exchange)
A leading futures and options exchange in Singapore.
Speculative demand (for money)
The need for cash to take advantage of investment opportunities that may arise.
Spot exchange rates
Exchange rate on currency for immediate delivery. Related: forward exchange rate.
Formal organizations, approved and regulated by the Securities and Exchange Commission
n event that influences production capacity and costs in an economy.
Transaction demand (for money)
The need to accommodate a firm's expected cash transactions.
Variable rated demand bond (VRDB)
Floating rate bond that can be sold back periodically to the issuer.
New muni bond issues scheduled to come to market within the next 30 days.
CAPITAL IN EXCESS OF PAR VALUE
What a company collected when it sold stock for more than the par value per share.
Capital in excess par
Amounts in excess of the par value or stated value that have been paid by the public to acquire stock in the company; synonymous with additional paid-in capital.
Securities and Exchange Commission (SEC)
The federal agency that
stockholders' equity, statement of changes in
Although often considered
electronic data interchange (EDI)
the computer-to-computer transfer of information in virtual real time using standardized formats developed by the American National Standards Institute
engineering change order (ECO)
a business mandate that changes the way in which a product is manufactured or a
the cooperative strategic planning,
Rho - The rate of change in a derivative’s price relative to the underlying
security’s risk-free interest rate.
An alteration in the accounting methodology or estimates used in
Amount of one currency needed to purchase one unit of another.
expectations theory of exchange rates
Theory that expected spot exchange rate equals the forward rate.
forward rate of exchange
Exchange rate for a forward transaction.
Securities and Exchange Commission (SEC)
Federal agency responsible for regulation of securities markets in the United
spot rate of exchange
Exchange rate for an immediate transaction.
Total quantity of goods and services demanded.
Aggregate Demand Curve
Combinations of the price level and income for which the goods and services market is in equilibrium, or for which both the goods and services market and the money market are in equilibrium.
Total quantity of goods and services supplied.
Aggregate Supply Curve
Combinations of price level and income for which the labor market is in equilibrium. The short-run aggregate supply curve incorporates information and price/wage inflexibilities in the labor market, whereas the long-run aggregate supply curve does not.
An amount desired, in the sense that people are willing and able to pay to obtain this amount. Always associated with a given price.
A bank deposit that can be withdrawn on demand, such as a deposit in a checking account.
Demand Management Policy
Fiscal or monetary policy designed to influence aggregate demand for goods and services.
Inflation whose initial cause is excess demand rather than cost increases. See also cost-push inflation.
Effective Exchange Rate
The weighted average of several exchange rates, where the weights are determined by the extent of our trade done with each country.
Embodied Technical Change
Technical change that can be used only when new capital embodying this technical change is produced.
Equation of Exchange
The quantity theory equation Mv = PQ.
A position in which there is no pressure for change, where demand and supply are equal.
Unused production capacity.
A situation in which demand exceeds supply.
Reserves of commercial banks in excess of those they are legally required to hold.
A situation in which supply exceeds demand.
Exchange Rate, Nominal
The price of one currency in terms of another, in this book defined as number of units of foreign currency per dollar.
Exchange Rate, Real
The nominal exchange rate corrected for price level differences.
Fixed Exchange Rate
An exchange rate held constant by a government promise to buy or sell dollars at the fixed rate on the foreign exchange market.
Flexible Exchange Rate
An exchange rate whose value is determined by the forces of supply and demand on the foreign exchange market.
Floating Exchange Rate
See flexible exchange rate.
The currency of a foreign country.
Foreign Exchange Market
A worldwide market in which one country's currency is bought or sold in exchange for another country's currency.
Foreign Exchange Reserves
A fund containing the central bank's holdings of foreign currency or claims thereon.
Forward Exchange Market
A market in which foreign exchange can be bought or sold for delivery (and payment) at some specified future date but at a price agreed upon now.
Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.