Archives: Terms

Definition of Personal Preferences Personal preferences refer to the individual tastes, inclinations, and choices that dictate a person’s decisions in various aspects of life, including but not limited to consumer behavior, lifestyle choices, and professional interests. These preferences are shaped by a myriad of factors such as cultural background, personal […]

Definition of Personal Loan A personal loan is a type of unsecured loan provided by banks, online lenders, and other financial institutions that can be used for a wide range of personal expenses. Unlike secured loans, like mortgages or auto loans, personal loans do not require collateral, meaning the borrower […]

Definition of Personal Investment Authority Personal Investment Authority refers to the autonomy and capability an individual possesses to make decisions regarding their own investments and financial planning. This encompasses a wide range of financial decisions, from selecting individual stocks, bonds, or mutual funds to planning for retirement, real estate investments, […]

Definition of Personal Income Distribution Personal income distribution refers to the way in which total personal income is spread across the population or different segments within a society. This distribution can shed light on economic disparities, highlight income inequality, and help understand the economic health of a nation. The pattern […]

Definition of Personal Equity Plan A Personal Equity Plan (PEP) was a form of investment account in the United Kingdom that encouraged individuals to invest in shares of publicly traded companies and collective investment schemes (e.g., mutual funds) with significant tax benefits. Introduced in 1986, PEPs were aimed at stimulating […]

Definition of Personal Disposable Income Personal Disposable Income (PDI) refers to the amount of money that an individual has available for spending and saving after income taxes have been accounted for. It is the net income available to an individual to spend on personal consumption, save or invest, as they […]

Definition of Perquisites Perquisites, often referred to as “perks,” are additional benefits provided to employees over and above their regular salary or wages. These benefits are usually non-cash and are given either to improve workers’ overall compensation packages or to provide incentives for improved performance. Perquisites can vary widely from […]

Definition of Perpetuity Perpetuity refers to a type of annuity that generates an infinite stream of payments into the future. This financial instrument is characterized by consistent payments that do not terminate. Essentially, perpetuities are used in finance to represent the value of cash flows that continue indefinitely. A common […]

The perpetual inventory method is a system used by businesses to track inventory in real-time. Under this method, every time an inventory item is purchased, sold, or returned, the inventory account is updated immediately to reflect these changes. This continuous tracking provides businesses with an up-to-date record of their inventory […]

### Glossary of Economic Terms: Permit to Pollute **Definition of Permit to Pollute** A Permit to Pollute refers to a legal authorization granted to a company or an organization to emit a certain amount of pollutants into the environment. These permits are part of regulatory mechanisms designed to control the […]