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Monday, December 20, 2010

Economic Glossary

Bid-ask spread is the difference between the price buyers are willing to pay for an asset (bid) and the price sellers are asking for it.


A form of interest bearing time deposit at a bank or savings institution which cannot be withdrawn before a specified maturity date without being subject to an interest penalty.


Disturbances in financial markets in one country or region triggering off a financial crisis in other countries and regions.


A measure of the degree to which two variables tend to move together. The coefficient has a value between plus and minus 1, which indicates the strength and direction of association.