Types of Unemployment: Structural vs. Cyclical There are two main types of unemployment. Cyclical unemployment refers to when a worker loses their job due to an economic downturn. If unemployment persists for many years due to infrastructural changes to labor […]
Structural vs. Cyclical Unemployment: What’s the Difference? Read More »
Mark-to-Market Accounting vs. Historical Cost Accounting: an Overview Historical cost accounting and mark-to-market, or fair value, accounting are two methods used to record the price or value of an asset. Historical cost measures the value of the original cost of
Mark-to-Market Accounting vs. Historical Cost Accounting: What’s the Difference? Read More »
Investments in emerging market economies generally carry a higher degree of risk than assets in the U.S. The risks inherent to many diversified emerging market mutual funds include emerging markets risk, stock market risk, country risk, regional risk, currency risk,
Four Good Emerging Market Funds Read More »
Nominal vs. Real Interest Rate: an Overview Interest rates represent the cost of borrowing and the return on savings and investing. They’re expressed as a percentage of the total amount of a loan or investment. They can be the total return
Nominal vs. Real Interest Rate: What’s the Difference? Read More »
Disposable income and discretionary income are key economic indicators used to gauge companies’ and individuals’ financial stability. However, they are different. Disposable income is what you have left over after taxes. Discretionary is what you have left over after taxes
Disposable Income vs. Discretionary Income: What’s the Difference? Read More »
A liquid asset is an asset that can be readily converted to cash. This means the asset can easily be sold with little impact on its value. Several factors must be present for an asset to be considered liquid. It
What Investments Are Considered Liquid Assets? Read More »
Current Assets vs. Noncurrent Assets: An Overview Current assets are liquid assets, meaning they can easily be converted to cash within a year. These include cash or cash equivalents, inventory, and marketable securities among others. These assets let businesses pay
Current Assets vs. Noncurrent Assets: What’s the Difference? Read More »
What Is the Effective Interest Rate Method of Amortization? The effective interest rate method of amortization is an accounting practice used to discount a bond. It is used for bonds sold at a discount or premium, with the amount of the bond
What Is the Effective Interest Rate Method of Amortizing a Bond? Read More »
Frictional and structural unemployment are two types of unemployment that can occur in an economy. Frictional unemployment isn’t a direct result of economic factors. It occurs when workers search for jobs or when someone has stopped actively searching for a
Frictional vs. Structural Unemployment: What’s the Difference? Read More »
