Economic efficiency
Economics is the social science that studies economic activity to gain an understanding of the processes that govern the production, distribution and consumption of goods and services in an economy.T...
Economic liberalization
Economic liberalization is the lessening of government regulations and restrictions in an economy in exchange for greater participation by private entities; the doctrine is associated with classical l...
Financial ratio
A financial ratio (or accounting ratio) is a relative magnitude of two selected numerical values taken from an enterprise's financial statements. Often used in accounting, there are many standard rati...
Constrained Pareto efficiency
The condition of Constrained Pareto optimality is a weaker version of the standard condition of Pareto Optimality employed in Economics which accounts for the fact that a potential planner (i.e. the g...
Kaldor–Hicks efficiency
Kaldor–Hicks efficiency, named for Nicholas Kaldor and John Hicks, also known as Kaldor–Hicks criterion, is a measure of economic efficiency that captures some of the intuitive appeal of Pareto effici...
Hansen–Jagannathan bound
Hansen–Jagannathan bound is a theorem in financial economics that says that the ratio of the standard deviation of a stochastic discount factor to its mean exceeds the Sharpe Ratio attained by any por...
X-inefficiency
X-inefficiency is the difference between efficient behavior of businesses assumed or implied by economic theory and their observed behavior in practice. It occurs when technical-efficiency is not bein...
Efficient-market hypothesis
The Efficient-market hypothesis (EMH) states that it is impossible to "beat the market" because stock market efficiency causes existing share prices to always incorporate and reflect all relevant info...
Tax avoidance
Tax avoidance is the legal usage of the tax regime to one's own advantage to reduce the amount of tax that is payable by means that are within the law. Tax sheltering is very similar, although unlike ...
Price–sales ratio
Price–sales ratio, P/S ratio, or PSR, is a valuation metric for stocks. It is calculated by dividing the company's market cap by the revenue in the most recent year; or, equivalently, divide the per-s...
Capital account convertibility
Capital account convertibility is a feature of a nation's financial regime that centers on the ability to conduct transactions of local financial assets into foreign financial assets freely and at cou...
Marginal efficiency of capital
The marginal efficiency of capital (MEC) is that rate of discount which would equate the price of a fixed capital asset with its present discounted value of expected income.The term “marginal efficien...
Open skies
Open skies is an international policy concept that calls for the liberalization of the rules and regulations of the international aviation industry—especially commercial aviation—in order to create a ...
Time and motion study
Original Films Of Frank B. Gilbreth (Part I)A time and motion study (or time-motion study) is a business efficiency technique combining the Time Study work of Frederick Winslow Taylor with the Motio...
Cog's Ladder
Cog's Ladder of group development is based on the work, "Cog's Ladder: A Model of Group Growth", by George O. Charrier, an employee of Procter and Gamble, published in a company newsletter in 1972. T...
Noisy market hypothesis
In finance, the noisy market hypothesis contrasts the efficient-market hypothesis in that it claims that the prices of securities are not always the best estimate of the true underlying value of the f...
Optimal capital income taxation
Optimal capital income taxation is a subarea of optimal tax theory which refers to the study of designing a tax on capital income thus that a given economic criterion like utility is optimized. Starti...
Economic liberalization in the post-war (post WWII) era
The period directly after World War II saw many countries adopt policies of economic liberalisation in order to stimulate their economies.The period directly after the war did not see many, the most n...
Bus deregulation in Great Britain
Bus deregulation in the United Kingdom was the transfer of operation of bus services from public bodies to private companies as legislated by the Transport Act 1985.
In the early 1980s much of the...
Market anomaly
A market anomaly (or market inefficiency) is a price and/or rate of return distortion on a financial market that seems to contradict the efficient-market hypothesis.The market anomaly usually relates ...
Fiscal illusion
Fiscal illusion is a public choice theory of government expenditure first developed by the Italian economist Amilcare Puviani in his 1903 book Teoria della illusione finanziaria (Theory of Financial I...
American Information Exchange
The American Information Exchange (AMIX) was a platform for the buying and selling of information, goods and services as well as the exchange of information, ideas, and certain kinds of intellectual w...
Efficient contract theory
Efficient contract theory suggests that in a perfectly competitive market, if a contract exists, then it must be efficient due to the survivorship principle.For example, the Initial Public Offering ma...
Total expense ratio
The total expense ratio, or TER, is a measure of the total cost of a fund to the investor. Total costs may include various fees (purchase, redemption, auditing) and other expenses. The TER is calculat...
Big Bang (financial markets)
The phrase Big Bang, used in reference to the sudden deregulation of financial markets, was coined to describe measures, including abolition of fixed commission charges and of the distinction between ...