Archives: Terms

Definition of Stock Exchange A stock exchange is a centralized venue, either physical or electronic, where the buying, selling, and issuance of shares of publicly-held companies occur. These exchanges facilitate the exchange of securities, including stocks, bonds, and other financial instruments, among investors. They provide a regulated environment that ensures […]

Definition of Stock Dividend A stock dividend is a dividend payment made by a corporation to its shareholders in the form of additional shares of stock, rather than cash. Stock dividends are typically issued by companies that wish to reward their shareholders while preserving their cash reserves. This approach increases […]

Definition of Stock Appreciation Stock appreciation refers to the increase in the value of a stock over time. When an investor purchases a stock, they hope that its value will rise, resulting in a capital gain when they decide to sell it. Stock appreciation is influenced by various factors including […]

### Stock Definition of Stock Stock represents ownership in a corporation and constitutes a claim on part of the corporation’s assets and earnings. There are two main types of stock: common and preferred. Common stock usually entitles the owner to vote at shareholder meetings and to receive dividends, while preferred […]

Definition of Stochastic Process A stochastic process is a mathematical object that represents a collection of random variables ordered in time. These random variables are governed by certain probabilistic laws and evolve in a way that is inherently unpredictable. Stochastic processes are used to model the seemingly random and dynamic […]

Definition of Sticky Wages Sticky wages refer to a situation in which the wages paid to employees are slow to adjust to changes in labor market conditions. This means that even when there is excess supply or demand for labor, the wages do not immediately change to reflect these conditions. […]

Definition of Sticky Prices Sticky prices, also known as price rigidity, refer to the condition where prices of goods and services do not adjust immediately to changes in economic conditions. This sluggish adjustment can cause market disequilibrium, where the quantity demanded does not equal the quantity supplied. Sticky prices are […]

Definition of Sterling M3 Sterling M3 refers to a broad measure of the money supply in the United Kingdom, encompassing the currency in circulation and various forms of bank deposits. Specifically, Sterling M3 includes: Currency held by the public Demand (or Checking) deposits Time deposits Long-term savings and deposits This […]

Definition of Sterling Area The Sterling Area, also known as the Sterling Bloc or Sterling Commonwealth, was a group of countries, mainly from the British Empire and Commonwealth, that pegged their currencies to the British Pound Sterling and held their reserves in the form of sterling balances. This system was […]

Definition of Sterling Sterling refers to the official currency of the United Kingdom, often denoted by the symbol £. The currency code for Sterling is GBP, which stands for Great Britain Pound. Sterling encompasses various denominations of the British currency, including coins and banknotes, and is widely used for transactions […]