192 definitions by abu yahya
a graph correlating inflation against unemployment rates. Using a horizontal axis to represent unemployment, and a vertical axis to represent inflation, A.W. Phillips found the rate of inflation and unemployment in Great Britain for every year between 1861 and 1957. When he had plotted the 97 dots on the chart, he had a rather neat hyperbola convex to the origin of the graph.
In other words, if the rate of unemployment was low, the rate of inflation was high, and vice versa. At the time, economists concluded that this was a logical outcome of both being influenced by the rate of interest: if interest rates were low, then unemployment would be low and prices would rise, but if interest rates were high then there would be lots of unemployment and workers would not have much money to spend... so prices would go down.
Unfortunately, when economists tried to design policy around this concept they disrupted the smooth relationship. In the years since the 1960's, there has not been a straightforward relationship, and Keynesian economics has had to be drastically revised to a post-Phillips Curve regime.
There is some correlation between inflation and unemployment, but the correlation is much more complicated than originally thought. It is quite possible to have high unemployment and high inflation (i.e., a high "misery index").
In other words, if the rate of unemployment was low, the rate of inflation was high, and vice versa. At the time, economists concluded that this was a logical outcome of both being influenced by the rate of interest: if interest rates were low, then unemployment would be low and prices would rise, but if interest rates were high then there would be lots of unemployment and workers would not have much money to spend... so prices would go down.
Unfortunately, when economists tried to design policy around this concept they disrupted the smooth relationship. In the years since the 1960's, there has not been a straightforward relationship, and Keynesian economics has had to be drastically revised to a post-Phillips Curve regime.
There is some correlation between inflation and unemployment, but the correlation is much more complicated than originally thought. It is quite possible to have high unemployment and high inflation (i.e., a high "misery index").
The Phillips Curve implies a trade-off between unemployment and inflation. Unfortunately, this trade-off may sometimes represent more of a Faustian bargain.
by abu yahya February 15, 2009
(AEROSPACE) French company created in 1970 from a massive consolidation of the French aerospace industry. Inherited and completed the French component of the Concorde SST, a supersonic jet transport. Aérospatiale was a partner in Airbus from the beginning.
Later, all of the partners in Airbus (except British Aerospace, which sold its stake in the consortium to the others) merged into a new, super-sized company called EADS. EADS is the parent company of Airbus, Eurocopter, and Arianespace.
Later, all of the partners in Airbus (except British Aerospace, which sold its stake in the consortium to the others) merged into a new, super-sized company called EADS. EADS is the parent company of Airbus, Eurocopter, and Arianespace.
Aérospatiale was one of the most technically brilliant companies of the late 20th century. It's all part of EADS now.
by abu yahya September 1, 2010
A person who refines political views to accommodate the prevailing winds; particularly, one who contrives self-serving excuses for political views now generally recognized to have been stupid.
In journalism, the current handwringer-in-chief is the New Yorker writer George Packer, whose book *The Assassins' Gate* has met with high praise from ... a subset of pundits I call trimmers... trimmers criticize ... the foolish president, but avoid unequivocal denunciations of this foolish war.
--John R, MacArthur, "Pro-War Liberals Frozen in the Headlights"
--John R, MacArthur, "Pro-War Liberals Frozen in the Headlights"
by abu yahya January 23, 2009
national income and product accounting; refers to the formal system of measuring capital accounts, current accounts, and gross domestic product.
National income and product accounting is the centerpiece of national economic
accounting in the United States. The NIPA's show the real and nominal value of output, the composition of output, and the distribution across types of income generated in its production.
Abraham & Mackie, *Beyond the Market,* p.40
accounting in the United States. The NIPA's show the real and nominal value of output, the composition of output, and the distribution across types of income generated in its production.
Abraham & Mackie, *Beyond the Market,* p.40
by abu yahya February 14, 2009
(HISTORY OF IRAN) More accurately known as Reza Shah; founder of the Pahlavi Dynasty (1925-1979), shah (emperor) of Iran from 1925 to his ouster in 1942 (by invading British and Russian armies).
Born, 1878; died, 1944. Originally in the regular Iranian Army, when the Iranian monarchy was bankrupted he contracted out to command a cossack division for the Anglo Persian Oil Company (British Petroleum). As a result, he actually had a lot of money and was able to become the prime minister (1922), and then depose the old Dynasty, the Qejars.
As Shah, he promised to revise the hated concession to Anglo Iranian Oil Company, but they managed to stall and thwart him with the help of the International Court of Justice. As a result, he turned to the Axis Powers. When World War II broke out, he offered some help to the Germans and Italians, so the British invaded and replaced him with his son, Shah Muhammad Reza.
Born, 1878; died, 1944. Originally in the regular Iranian Army, when the Iranian monarchy was bankrupted he contracted out to command a cossack division for the Anglo Persian Oil Company (British Petroleum). As a result, he actually had a lot of money and was able to become the prime minister (1922), and then depose the old Dynasty, the Qejars.
As Shah, he promised to revise the hated concession to Anglo Iranian Oil Company, but they managed to stall and thwart him with the help of the International Court of Justice. As a result, he turned to the Axis Powers. When World War II broke out, he offered some help to the Germans and Italians, so the British invaded and replaced him with his son, Shah Muhammad Reza.
Shah Reza Pahlavi is often compared with Ataturk, a contemporaneous dictator of Turkey. However, Reza Shah was much more reliant on a cooperative clergy than Ataturk was.
by abu yahya July 17, 2010
(FINANCE) private equity fund; business entity formed to pool money provided by investors in order to buy majority stakes in existing companies. A common practice is to then "take the company private," so that it no longer has shares trading on the stock market. The company is then restructured, so that it has entirely different management practices, or a different business strategy. Afterward, the PE fund will most likely re-sell the company on the stock market in a sponsored IPO.
PE funds are usually limited partnerships (LPs), which gives them special privileges of nondisclosure; most are organized in the State of Delaware. PEF's have sponsors, or "principals," who are responsible for organizing the fund and recruiting other investors. They are never "limited liability partnerships" (LLP's); apologies to Urban Dictionary for erroneously mixing them up in my definition for "private equity fund" and "hedge fund." The difference between the two is explained there.
Among the best-known PE funds are Blackstone Group*, Kohlberg Kravis Roberts (KKR)*, Goldman Sachs Capital Partners*, Carlyle Group, Permira, Apollo Management, Providence Equity, TPG Capital, Warburg Pincus, and Cerberus. Companies marked with an asterisk (*) are publicly listed corporations; most PE funds are privately managed. The selection above includes the largest ones by capital under management.
PE funds are usually limited partnerships (LPs), which gives them special privileges of nondisclosure; most are organized in the State of Delaware. PEF's have sponsors, or "principals," who are responsible for organizing the fund and recruiting other investors. They are never "limited liability partnerships" (LLP's); apologies to Urban Dictionary for erroneously mixing them up in my definition for "private equity fund" and "hedge fund." The difference between the two is explained there.
Among the best-known PE funds are Blackstone Group*, Kohlberg Kravis Roberts (KKR)*, Goldman Sachs Capital Partners*, Carlyle Group, Permira, Apollo Management, Providence Equity, TPG Capital, Warburg Pincus, and Cerberus. Companies marked with an asterisk (*) are publicly listed corporations; most PE funds are privately managed. The selection above includes the largest ones by capital under management.
The PE fund first appeared in the 1970's as a result of changes to ERISA. Institutional investors, usually pension funds, could be legal partners in an LP; they also required a place to park assets with very high rates of return.
In the USA, PE funds have long been sinecures for the most powerful political dynasties: the Rockefellers, the Romneys, the Bushes, and others.
In the USA, PE funds have long been sinecures for the most powerful political dynasties: the Rockefellers, the Romneys, the Bushes, and others.
by abu yahya September 2, 2010
(FINANCE) Used either as a noun: a situation in which a trader controls the supply of a traded item, such as shares of stock, supplies of a commodity, etc.
Or else, used as a verb: to obtain control over the supply of a thing, so that one can drive the price up to extremely high levels.
Cornering the market for anything (or getting a corner) is extremely difficult and requires not only immense amounts of money (usually borrowed for the purpose), but also timing and the ability to bluff opponents.
A corner is ultimately a long position in the sense that it is a direct attack on investors taking a short position.
Or else, used as a verb: to obtain control over the supply of a thing, so that one can drive the price up to extremely high levels.
Cornering the market for anything (or getting a corner) is extremely difficult and requires not only immense amounts of money (usually borrowed for the purpose), but also timing and the ability to bluff opponents.
A corner is ultimately a long position in the sense that it is a direct attack on investors taking a short position.
The corner must be timed very precisely, because it cannot last for more than a very short time. Even when the the price of the thing (like, say, silver) goes up to very, very high levels, more supplies cannot come onto the market or the corner will be lost.
At the same time, there has to be a target of the corner--some group of people who have to buy the cornered item no matter how high the price goes (otherwise, the quantity demanded will just go to zero). For this reason, corners are nearly always part of an attempt to squeeze the shorts.
At the same time, there has to be a target of the corner--some group of people who have to buy the cornered item no matter how high the price goes (otherwise, the quantity demanded will just go to zero). For this reason, corners are nearly always part of an attempt to squeeze the shorts.
by abu yahya April 5, 2010