R-squared
Detailed exploration of R-squared, also known as the coefficient of determination
R&D (Research and Development)
Dictionary entry for Research and Development (R&D) in economics
Racial Discrimination
An overview and detailed examination of racial discrimination in economic contexts
Rainforest
A comprehensive exploration of the term 'rainforest,' including its economic and environmental significance.
Ramsey Pricing
An economic concept in pricing that aims to maximize economic welfare while allowing firms to meet specific profit targets.
Ramsey Regression Equation Specification Error Test (RESET)
An overview of the Ramsey Regression Equation Specification Error Test, a method for identifying linear regression model misspecifications by testing non-linear combinations of explanatory variables.
Ramsey Rule
A formula characterizing optimal commodity taxes in an economy with a single consumer, aimed at maximizing utility subject to a revenue constraint.
Random Effects
A detailed exploration of the random effects in panel data regression models and its significance in economics
Random Error
A discrepancy between the observed value of a variable and its true value due to chance or imprecise measurement.
Random Event
An overview of the concept of Random Event in Economics.
Random Process
An examination of random processes, also known as stochastic processes, in economic analysis.
Random Sample
A random sample refers to a subset of individuals chosen from a larger set (population) where each individual has an equal chance of being selected.
Random Variable
A function that maps the outcomes of a random experiment onto the real numbers
Random Walk
A detailed entry about the term Random Walk, including its definition, historical context, and analytical frameworks in economics.
Randomized Response
A technique for eliciting truthful answers to sensitive questions in surveys, used to estimate the proportion of a population belonging to a sensitive group.
Range
An examination of 'range' as an economic term including its background, historical context, and major frameworks.
Rank Correlation
An overview of rank correlation, a measure often utilized to evaluate the degree of similarity between two rankings used in various fields of economics and statistics.
Rank Dependent Expected Utility Theory
A generalization of expected utility theory, explaining choices observed in the Allais paradox and other anomalies.
Ratchet Effect
Understanding the tendency for a variable to be influenced by its largest previous value and its implications in economics
Rate of Exchange
A detailed examination of the term 'Rate of Exchange' in economic context, including definitions, historical background, and relevant analytical frameworks.
Rate of Growth
Economic analysis of the rate of growth, dealing with rates at which key economic indicators increase over a period.
Rate of Interest
The charge made for the loan of financial capital, expressed as a proportion of the loan, considering diverse premiums.
Rate of Return
The increase in the value of an asset expressed as a proportion of the asset’s initial value over a given time period.
Rate of Return Regulation
A system for controlling the prices charged by regulated monopolists, aimed at allowing them to earn a market return on their capital.
Rate Support Grant
A financial mechanism in the UK where central government provided grants to local authorities from 1967 to 1990 to supplement their revenues.
Rateable Value
An in-depth insight into the concept of rateable value in the UK and its implications in local taxation.
Rates
A system of local taxation in the UK including business rates and domestic charges.
Rational Expectations
Rational expectations are model-consistent expectations where behaviors align with the underlying economic model.
Rational Ignorance
An optimal choice to not acquire information when the benefit of using the information is expected to be less than the cost of obtaining it.
Rationality
The use of logical reasoning based on available facts to reach conclusions.
Rationalization
Rationalization refers to the reorganization of production processes in the interest of enhancing efficiency or profits, often involving significant, non-marginal changes such as the centralization or dispersion of production facilities.
Rationing
An overview of rationing, the controlled distribution of scarce resources, its motivations, critiques, and various economic perspectives.
Raw Materials
Economic significance of raw materials, encompassing their role in production and international trade.
Rawlsian Social Welfare Function
An examination of the social welfare function prioritizing the utility of the worst-off member of society, inspired by John Rawls' principles.
Reaction Curve
An optimal strategy of one player in a game expressed as a function of the strategy choices of other players
Reaganomics
The policy combination of tight monetary policy to discourage inflation and lax public finance to encourage real growth during Ronald Reagan's presidency.
Real Balance Effect
The effect on spending of changes in the real value of money balances, influencing inflation and savings behavior.
Real Balances
An examination of the term 'real balances' in economics, including its definition, historical context, and analytical frameworks.
Real Business Cycle
A theory of the business cycle attributing fluctuations to random technology shocks and emphasizing efficient responses to these shocks.
Real Costs
A comprehensive overview of real costs in economic terms, encompassing foundational concepts, historical context, and analytical frameworks.
Real Effective Exchange Rate
The real effective exchange rate (REER) is the exchange rate of a country’s currency against a weighted combination of other currencies, adjusted for relative consumer prices, and reflects the overall competitiveness of the country.
Real Exchange Rate
Definition and meaning of the real exchange rate in economics
Real GDP
An entry defining and outlining the concept of real GDP in economic terms
Real GNP (Gross National Product)
An overview of Real GNP, its implications, and its usage in economic analysis.
Real Income
Real income refers to income of an individual or group after taking into consideration the effects of inflation on purchasing power.
Real Interest Rate
Understanding the Real Interest Rate in Economics
Real Money Supply
An understanding of the concept 'real money supply' in economic context.
Real National Income
An economic term describing the national income adjusted for price changes using a suitable price index
Real Option Theory
An approach to the analysis of investment opportunities using option valuation techniques.
Real Terms
A comprehensive overview of the concept of 'real terms' in economic analysis, focusing on how it helps to remove or minimize the effects of nominal changes like price variations.
Real Variable
A comprehensive exploration of the term 'Real Variable,' its significance, context, and application in economics. Contrasts with Nominal Variable and inclusion in major economic frameworks.
Real Wage Resistance
Difficulty in reducing real wages due to opposition of trade unions and employer reluctance.
Real Wages
Exploration of the term 'real wages', its definition, meanings, historical context, and relevance in various economics frameworks.
Realignment of Exchange Rates
A detailed examination of the realignment of exchange rates, including its historical application and impact within economic systems.
Rebate
Refund of a part of the amount already paid or a deduction from the amount to be paid.
Recapitalization
A change in the proportions of debt and equity in a company’s capital structure.
Receivership
The situation when a company defaults on its obligations, and a receiver is appointed to manage its assets to pay off creditors.
Recession
An in-depth look into what constitutes a recession, its definitions, and its significance.
Reciprocity
The principle in international economic relations where a country treats the nationals of any foreign country in the same way as its residents are treated in that country.
Recommended Retail Price
An exploration into the concept of Recommended Retail Price (RRP), its definition, implications, and significance in different economic frameworks.
Recourse Loan
Detailed entry on the concept of recourse loans in economics, including their definitions, analytical frameworks, and case studies.
Recovery
The phase of a business cycle when output and employment are moving back from their lowest point towards normal levels
Recursive Model
A detailed exploration of the recursive model in economics and econometrics.
Recycling
Reusing goods that have served their original purpose for cost-saving and environmental benefits.
Red Book
A periodically revised publication by the Bank for International Settlements outlining payment and settlement systems of central banks within the Committee on Payments and Market Infrastructure.
Red Hat Enterprise
Officially registered public-owned organizations privately owned, common in China during the 1990s.
redeemable security
A comprehensive examination of the redeemable security, its definition, context, and implications in economics.
Redemption Date
The date on which a security is due to be redeemed by the borrower. This may be a single date, or a range of dates within which the borrower has discretion to choose when repayment will take place.
Redemption Value
An in-depth look at the concept of redemption value in economics and finance.
Redemption Yield
The interest rate that equates the present value of interest receipts and principal repayments with the market price of a security when held to maturity.
Redeployment
The process of shifting factors of production from one use to another, often involving labor movement within or outside firms.
Rediscount
Definition and analysis of rediscount in the context of economics and finance.
Redistributive Tax
A tax designed to alter the distribution of income or wealth.
Redlining
Refusal by banks to make loans or by insurance companies to issue policies to individuals or firms in particular geographical areas, often justified by banks based on past bad experiences but criticized for discrimination
Reduced Form
A formulation in econometrics where current endogenous variables are expressed in terms of exogenous and predetermined endogenous variables.
Reducing Balance Depreciation
The method of depreciating fixed assets by applying a constant percentage to their remaining value each year.
Redundancy
Termination of employment due to a decline in employer's need for labour.
Reference Point
An exploration of the concept of 'reference point' in economics with emphasis on its use in Prospect Theory.
Reflation
A comprehensive examination of reflation as an economic policy tool, its historical context, theoretical frameworks, and comparative analysis.
Reform
Exploring the multifaceted concept of reform in economics, including its implications for currency and pricing.
Refusal to Supply
Explore the concept of refusal to supply, wherein producers decline to sell their goods to certain applicants, impacting competition and distribution strategies.
Regional Aid
An overview of regional aid, its definitions, frameworks, and comparative analyses.
Regional Policy
Policies aimed at enhancing the economic conditions and development of specific regions within a country or a group of countries.
Regional Trade Agreements
Agreements between groups of countries to trade with each other more freely than with the world in general.
Registered Unemployed
Unemployed individuals officially recorded and receiving unemployment-related benefits.
Registrar of Companies
An official responsible for the registration and oversight of companies, including maintaining registers and issuing certificates of registration.
Regression
A method of numerical data analysis summarizing relationships among variables in a data set.
Regression Discontinuity Design
A method of estimation designed to find the causal effect of a discontinuous treatment
Regression Kink Design
A method of estimation designed to find the causal effect when a policy variable has discontinuities in the first derivative, or ‘kinks’.
Regressive Tax
A comprehensive entry on the concept and implications of regressive tax in economics.
Regret Theory
A theory of choice predicated on the anticipation of regret, utilized in decision-making processes to explain economic anomalies.
Regulation
A comprehensive overview of regulation in economics, including its purpose, methods, and various frameworks.
Regulatory Agency
A body set up to decide on and enforce regulations, often independent from direct government control.
Regulatory Capital
The minimum capital required for banks and other financial services institutions by a regulator, such as a central bank or an international supervisory body.
Regulatory Capture
The tendency of regulators to identify with the interest of the industry they are supposed to regulate.
Reinsurance
An economic system where insurers transfer part of their risk to other insurers to minimize potential losses.
Rejection Region
The rejection region is a statistical concept used in hypothesis testing, referring to the range of values that leads to the rejection of the null hypothesis.
Rejection Rule
A decision rule for rejecting the null hypothesis in favour of the alternative based on test statistics or p-values.
Relationship Banking
An in-depth look at the concept and practice of relationship banking in the economics and financial sector.
Relationship Investor
Definition and meaning of a relationship investor