Comparative Advantage Subject: Business Studies Comparative advantage is an economic term that refers to an economy’s ability to produce goods and services at a lower cost than trade partners. The law of comparative advantage describes how, under free trade, an…
Trade agreement Subject: Business Studies Trade agreements are the product of negotiations between two or more sovereign countries that determine acceptable exchange terms for goods and services between the two parties. As a sovereign country, each of the nearly 200…
Junk Bond Subject: Business Statistics Junk bonds are fixed-income securities that are rated below the investment-grade by one or more major bond rating agencies. In contrast to low-risk, investment-grade bonds, junk bonds are generally not ideal for long-term investments, and…
Commerce Clause Subject: Business Studies The Commerce Clause is a grant of power to Congress, not a restriction on the power of the states to control the economy. Commerce Clause provision of the United States Constitution (Article 1, Article 8)…
Ethical Consumerism Subject: Business Studies Ethical consumerism is the idea that consumers should be able to pursue a range of ethical values and policies and pursue a variety of ethical purposes through how they spend their money in the market.…
Devaluation Subject: Business Studies A devaluation is a tool used by the monetary authorities to improve the country’s trade balance by increasing exports at a time when trade deficits can be a problem for the economy. Countries that have…
Conglomerate Subject: Business Statistics Consolidation is a very large corporation or organization, consisting of several joint ventures, it is formed by a takeover or merger. It is a multi-industry organization, a combination of multiple business entities operating in completely…
What is Factoring? Subject: Business Statistics Factoring is a financial service where a business entity sells its bill receivables to a third party in exchange for a discount to raise funds. A business sometimes uses the assets it owes to meet…
What is Manufacturing? Subject: Business Studies Manufacturing is a product made by hand or by a machine which is a business sale to a customer upon completion. These include all food, chemicals, textiles, machines, and equipment. It includes all the refined…
Service and Construction Industry Subject: Business Studies Service industry and Construction industry Service industries are involved with proving service of professionals. It is a type of business that provides services to customers rather than producing a product. It is an industry in…