Archives: Terms

Definition of Consumer Protection Consumer protection refers to the practices and laws that ensure fair competition and the free flow of truthful information in the marketplace. It is designed to prevent businesses that engage in fraud or specified unfair practices from gaining an advantage over competitors. This includes laws that […]

Definition of Consumer Non-Durables Consumer non-durables, also known as fast-moving consumer goods (FMCGs), are products that are consumed or are expected to last for a short period—usually less than three years—and therefore need to be purchased on a regular basis. These goods encompass a wide range of everyday items that […]

Definition of Consumer Expenditure Consumer expenditure refers to the total amount of money spent by households and individuals on goods and services for personal use within a given period. These expenditures include spending on necessities such as food and housing, and on discretionary items like entertainment and luxury products. Consumer […]

Definition of Consumer Durables Consumer durables refer to the category of consumer goods that do not quickly wear out and are therefore used over a long period of time. This category includes items such as appliances, cars, electronics, furniture, and homes. The primary characteristic that distinguishes consumer durables from non-durables […]

Definition of Consumer Debt Consumer debt, often referred to as household debt, is the amount of money owed by consumers, as opposed to businesses or governments. It encompasses various types of debt, including credit card debt, mortgages, auto loans, student loans, and personal loans. Consumer debt is primarily incurred to […]

Definition of Consumer Credit Consumer credit is a type of personal loan granted to individuals to finance consumer goods and services. This financial instrument allows consumers to obtain goods or services immediately while committing to repay the borrowed amount, plus any accrued interest, over a period of time. Consumer credit […]

Definition of Consumer Borrowing Consumer borrowing refers to the act of individuals obtaining funds from financial institutions or other lending sources to purchase goods, services, or to consolidate debt. This encompasses various types of loans and credit, including mortgages, personal loans, credit cards, and auto loans. Consumer borrowing allows individuals […]

Introduction to Consumer Behavior Consumer behavior refers to the actions and decision-making processes of individuals or groups in acquiring, using, and disposing of goods and services. It encompasses a wide range of activities and reasoning, from initial need recognition and information search, through to purchase, consumption, and finally, post-purchase evaluation. […]

Definition of Constraint A constraint in economics refers to any limitation or restriction which can impact decision-making processes and outcomes. This concept is relevant in various economic contexts, including production, consumption, and distribution of goods and services. Constraints can stem from financial limitations, resource scarcities, regulatory frameworks, or technological barriers, […]

Definition of Constrained Optimum A constrained optimum refers to the best possible outcome or solution that can be achieved under a given set of restrictions or constraints. In economics, this concept is commonly applied in the context of optimizing an objective function, such as maximizing profits or utility, subject to […]