Definition of Creative Destruction Creative destruction is a phenomenon in which new ideas, products, or technologies are created, causing the demise of established businesses, products or technologies. It is the process by which old ways are replaced with new ones. Often attributed to economist Joseph Schumpeter, the theory behind creative […]
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Cross Elasticity Of Demand
Definition of Cross Elasticity of Demand Cross elasticity of demand (also known as cross price elasticity) is a measure of the responsiveness of the demand for one product to changes in the price of a related product. It is represented by the percentage change in quantity demanded for a product […]
Read moreCurrent Account
Definition of Current Account The current account measures a country’s imports and exports of goods and services, net income payments, and net transfers. It’s part of the balance of payments and is an important indicator of a country’s economic health. The current account can be in deficit, balanced, or surplus. […]
Read moreCurrent Account Deficit
Definition of Current Account Deficit The current account deficit is a situation in which a country’s total imports of goods, services, and investments exceed its total exports of goods, services, and investments. In other words, it describes a scenario where a country is importing more than it is exporting and […]
Read moreCustomer To Customer (C2C)
Definition of Customer to Customer (C2C) Customer to customer (C2C) is a market model where individuals use online platforms to trade goods or services with one another. It allows consumers to sell or exchange goods and services directly with other consumers. This model is a form of e-commerce that connects […]
Read moreDark Web
Definition of Dark Web The dark web is a part of the internet that cannot be accessed by conventional web browsers and search engines. It is a network of sites and services that are not indexed by regular search engines and can only be accessed using special software tools like […]
Read moreDavid Ricardo
Who is David Ricardo David Ricardo was a prominent British economist who lived during the late 18th and early 19th centuries. He was born in London in 1772 and died in the same city in 1823. Ricardo was primarily known for his contributions to classical economics and free trade theory. […]
Read moreDeadweight Loss Of Taxation
Definition of Deadweight Loss of Taxation Deadweight loss of taxation (also referred to as excess burden) is the economic cost that occurs when taxes are imposed on a market, resulting in a reduction in the overall efficiency of that market. Essentially, it is the net loss to society of taxes […]
Read moreDebt-To-GDP Ratio
Definition of Debt-to-GDP Ratio The debt-to-GDP ratio is a measure of a country’s total debt compared to its gross domestic product. It indicates the percentage of a country’s GDP that is taken up by its debt. Typically, it is used to assess a country’s ability to pay back its debt […]
Read moreDeficit Spending
Definition of Deficit Spending Deficit Spending occurs when the government spends more money than it collects in taxes within a given period. This difference between spending and tax revenue creates a budget deficit. Governments will often do this to finance public projects or spur economic growth. In most cases, the […]
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