Definition: Index Number is a statistical tool that gauges the changes in the degree of a variable or group of related variables over a specified period of time, or over two different situations. Index numbers are applicable to the values of economic time series. It reflects the general relative change that is primarily used by economists to present economic data time series … [Read more...] about Index Number
Gig Economy
Definition: Gig Economy is a group of the market that connects service providers to consumers on a gig, i.e. per job/task basis. It implies a labour market wherein numerous individuals are employed on a part-time basis or where freelance work persists, instead of conventional full-time work. Even organizations look for independent contractors, on-call workers and freelancers to … [Read more...] about Gig Economy
Statistics
Definition: Statistics can be defined as a part of applied mathematics that is concerned with the collection, classification, interpretation, analysis or the numerical and categorical data and facts, and drawing conclusions, so as to present the same in a systematic manner. It involves a wide variety of methods which facilitates data analysis, for decision making … [Read more...] about Statistics
Market Failure
Definition: When there is an inefficient allocation of goods and services in a free market, such a situation is termed a market failure. It arises when the market fails to efficiently create and distribute scarce resources. Here the term 'efficiently' means the way in which the highest social welfare can be achieved. In a free market, the demand and supply forces, determine … [Read more...] about Market Failure
Money
Definition: Money refers to an economic measure that acts as a commonly accepted exchange medium, to pay for goods and services, repay debts, and settle various transactions. Further, those exchanges which are carried out without the mediation of money are called as a barter exchange. In finer terms, money is a man-made creation, which is introduced with an aim of overcoming … [Read more...] about Money
Small Scale Industries (SSI)
Definition: Small Scale Industry (SSI) refers to an industrial undertaking whose investment in fixed assets, i.e. plant and machinery, is not less than ₹ 1 crore, be it is owned, leased, or hire purchased. Nevertheless, considering the needs of small-scale industries which are dependent on export promotion and modernization, the maximum investment in fixed asset is ₹ 5 … [Read more...] about Small Scale Industries (SSI)
Credit Control
Definition: Credit Control is a function performed by the Central Bank (Reserve Bank of India), to control the credit, i.e. the demand and supply of money or say liquidity in the economy. With this function, the central bank regulates the credit granted by the commercial banks to its customers. It aims to achieve economic development with stability as well as to manage the … [Read more...] about Credit Control
Barter System
Definition: The barter system is a system of exchange, which was prevalent in the world centuries ago, before the introduction of the monetary system. In this arrangement, goods and services are traded for goods and services. This means that the parties exchange each other's commodity directly without any mediation of money on the basis of equivalent estimates of price and … [Read more...] about Barter System
Goods and Services Tax (GST)
Definition: Goods and Services Tax (GST) is based on the phenomenon of 'one nation, one tax'. It is a single tax that is levied on the supply of goods and services. Also, for the imposition of taxes, no difference is made between goods and services. Further, it has been implemented to subsume various indirect taxes, on which tax is levied at different rates, by Central and … [Read more...] about Goods and Services Tax (GST)
Industrial Sickness
Definition: Industrial Sickness, as the name suggests is the state of industrial weakness or illness, i.e. the company fails to earn a reasonable profit. It is the continuous disproportion in the debt-equity ratio and falsification of the financial status of the industrial unit. Industrial Sickness represents a stage wherein the firm is not in a position to generate a … [Read more...] about Industrial Sickness