abu yahya's definitions
Money that (a) derives its value entirely from the mandate of the government, and (b) cannot be freely traded. Fiat money is not the same thing as floating currency, because if a floating currency is intrinsically worthless then its lack of worth will be reflected in the forex markets. Fiat money, on the other hand, does not require a disciplined monetary of fiscal policy on the part of the issuing authorities; exchange rates are fixed by decree, which means the state also controls supplies of hard (foreign) currency.
by abu yahya September 28, 2008
Get the fiat money mug.foreign direct investment; includes direct capital investment in companies that have not yet issued stock. As opposed to portfolio investment (purchases of traded securities in a firm). Both FDI and portfolio investment refer to capital transfers from country to country.
by abu yahya September 28, 2008
Get the FDI mug.Capital (in economics) refers to either equipment used to produce goods (tools, factory buildings, infrastructure) or money that is currently used to pay for business ventures. Capital accounts refers to the balance of investment that a country receives from, or supplies to, other countries over the course of a business period. So, for example, in the course of a year the people in country A may buy $1.5 million in shares and bonds from overseas, and sell $900,000 of the same (for net capital exports of $600K); meanwhile, foreigners might buy $1.2 million in shares, etc., while selling $800K of the same (capital imports of $400K). The country therefore exports $600K, imports $400K, and runs a net capital account balance of -$200K.
Over the short run, a capital account surplus can offset a current account deficit.
Over the short run, a capital account surplus can offset a current account deficit.
For the last 30 years the USA has run a surplus in its capital accounts, partly offsetting a gigantic deficit in current accounts.
by abu yahya September 28, 2008
Get the capital accounts mug.In economics, (1) Materials or equipment used to produce goods (e.g., tools, parts, inventory, buildings, fixtures, hours of training); or (2) money that is used in a business venture. Capital is created by saving, rather than consuming, economic output. Over time, saving accumulates into capital; it also depreciates.
by abu yahya September 29, 2008
Get the capital mug.Capital investment in a foreign country that takes the form of purchases of securities (stocks, bonds, and commercial paper) in the companies of firms based in that country. Contrast to FDI.
by abu yahya September 28, 2008
Get the portfolio investment mug.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
Get the trimmer mug.to introduce a thing as currency, e.g., silver, gold, copper. In nearly all cases, when something has been monetized, it is legal tender and debtors are legally obligated to accept it as payment for debt.
Debt can also be monetized. A government can either buy the debt of companies whose growth it favors as a matter of policy (as in pre-War Japan) or permit its own bonds to be be used as banking reserves (for the creation of money).
Debt can also be monetized. A government can either buy the debt of companies whose growth it favors as a matter of policy (as in pre-War Japan) or permit its own bonds to be be used as banking reserves (for the creation of money).
by Abu Yahya January 23, 2009
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