on 2023/07/21 by alex1, []

A bank contractually grants the debtor the right not to start servicing the loan until some time later; in other words, no repayments and interest are due initially. Such tempting newcomer conditions were particularly common in the U.S. real estate market and are considered to be one of the main reasons for the subprime crisis. […]

on 2023/07/21 by alex1, []

Provision in the bylaws of a stock corporation that each member of the supervisory board – CH: administrative board – must own a certain number of shares in the company. There has been much discussion about the advantages and disadvantages of such an ownership clause. Attention: The financial encyclopedia is protected by copyright and may […]

on 2023/07/21 by alex1, []

the balance of expenditure and income during a financial period, where the consumption of value is greater than the increase in value. – See expense. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, […]

on 2023/07/21 by alex1, []

A bond that is repaid in equal fixed annual installments after a contractually defined grace period. These installments are structured in such a way that they each comprise a decreasing interest portion and an increasing redemption portion. In the final year of the term, the bond is then repaid in full with the payment of […]

on 2023/07/21 by alex1, []

If certain measures are taken on financial markets in one country, market participants expect that other (neighboring; economically closely related to the country) countries will soon take the same or similar precautions. They therefore react accordingly. – See Animal Spirits, Financial Psychology, Fear Thesis, Payday Rule of Thumb. Attention: The financial encyclopedia is protected by […]

on 2023/07/21 by alex1, []

The omission of information from a survey; the respondent leaves the relevant question unanswered. This also has significance for statistical surveys of the central bank. An attempt must be made to find the denied information from other statements made by the respondent; this is referred to as imputation (imputation: a process to determine and assign […]

on 2023/07/21 by alex1, []

For the euro area, labor costs are monitored by the ECB according to various aspects (compensation per employee, gross monthly earnings, index of collectively agreed earnings, labor costs per hour), because they are an important component of disposable income and thus of (money) demand. – See Compensation of employees per head, labor cost indicators, unemployment […]

on 2023/07/21 by alex1, []

Structural unemployment that does not generate inflationary pressures and must be addressed by means of labor market policies. – See Balassa-Samuelson effect, Phillips theorem, growth-employment relationship. – Cf. ECB Monthly Bulletin, August 2005, pp. 50 ff. (structural unemployment in the euro area analyzed; problems of predictive assessment; many references). Attention: The financial encyclopedia is protected […]

on 2023/07/21 by alex1, []

If not otherwise defined in the financial field, a term for the extent to which different sets of data in a financial statement or statement of assets and liabilities fit together (the interrelation and congruence of the flow of data between financial statements of an entity, such as between the income statement and the balance […]

on 2023/07/21 by alex1, []

In older financial language, in relation to a debt, the extension of time, the deferral of payment. – See moratorium, default. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com […]