Archives: Terms

Definition of Sample Selectivity Bias Sample Selectivity Bias, also known as Selection Bias, occurs when the sample collected for a study or analysis does not accurately represent the population from which it was drawn. This bias can result from non-random sampling, meaning that certain members of the population have a […]

Definition of Supply and Demand Supply and demand are the fundamental forces driving the price and quantity of goods and services in a market. The law of supply states that, all other factors being equal, an increase in price results in an increase in quantity supplied. Conversely, the law of […]

Definition of Salary Salary is a fixed regular payment, typically paid on a monthly or biweekly basis, that an employee receives from an employer in exchange for the performance of their job responsibilities. It is usually expressed as an annual sum but divided into regular installments, which can include various […]

Definition of Safety at Work Safety at work refers to the measures and practices implemented to protect the health and well-being of employees in the workplace. This includes not only preventing accidents and injuries but also ensuring that the work environment is free from health hazards like excessive noise, harmful […]

Definition of Saddle Point A saddle point, also known as a minimax point, is a concept primarily used in game theory and optimization. It represents a point in the decision space where a strategy’s gain is maximized while the opponent’s corresponding losses are minimized. In terms of mathematics, a saddle […]

Definition of Sacrifice Ratio The sacrifice ratio is an economic concept that represents the cost in terms of lost output or unemployment that society endures in order to reduce inflation by one percentage point. Essentially, it measures the trade-off between inflation and unemployment or economic output. The idea is grounded […]

Definition of Sacking Sacking, also known as termination, dismissal, or firing, refers to the process by which an employer ends the employment relationship with an employee. It is often initiated by the employer due to reasons such as poor performance, misconduct, or organizational restructuring. Sacking can have significant implications for […]

Definition of Rust Belt The Rust Belt refers to a region of the United States, primarily in the Northeast and Great Lakes areas, known for its once-thriving industrial manufacturing sector. The term “Rust Belt” gained prominence in the late 20th century when these industrial regions encountered severe economic decline, factory […]

Definition of Running Yield Running yield, also known as current yield, is a financial term used to describe the annual income (interest or dividends) from an investment, expressed as a percentage of the current market price. This measure helps investors understand the income-generating ability of an investment relative to its […]

Definition of Rules-Based Policy A rules-based policy refers to a framework where policies are guided and determined by predefined rules rather than by the discretion of policymakers. These rules help ensure that economic policies are predictable, transparent, and consistent over time. In economics, rules-based policies are often applied to monetary […]