Availability of substitutes is an important factor of price as well — if a product's price becomes too high, then consumers will switch to a substitute. For example, if the cost of gas becomes too high for consumers to use their cars, then they may start riding bikes or taking public ...
Market price and Natural price:In economics, the term market price refers to the price paid by consumers for the consumption of a particular product or service. The natural price, on the other hand, refers to the price of raw material or resource extraction cost associated with a ...
by financial market participants to gauge inflation and by the Federal Reserve to calibrate its monetary policy. Businesses and consumers also use the CPI to make informed economic decisions. Since CPI measures the change in consumers'purchasing power, it is often a key factor in pay negotiations....
What is the determining factor of whether a bond is sold at a discount, face, or premium? Analyze the factors involved in translating the statements of a foreign entity operating in a highly inflationary economy and determine which single factor carries the most weight. Explain your rationale. ...
Liquidityis a key factor in assessing a company's basic financial health. Liquidity is the amount of cash and easily-convertible-to-cashassetsa company owns to manage its short-term debt obligations. Before a company can prosper in the long term, it must first be able to survive in the sh...
expression. Recall, that the value factor is rooted in the belief that relatively inexpensive equities tend to outperform expensive ones. To quantify the qualitative aspect of ‘inexpensive’ and ‘expensive,’ investors use various valuation metrics, such as book-to market, cash flow and earnings....
Breaking down performance by sector is helpful when reviewing your investment portfolio. The stock market has been on a wild ride this year. Some equity indices were at all-time highs in mid-February before falling to multiyear lows in mid-March. The rebound since March 23 has been impressive...
iShares Factor ETFs attempt to capture these drivers of returns in a transparent, low cost, and tax efficient vehicle. INTRODUCTION TO FACTOR INVESTING Factor investing is the strategy of targeting securities with specific characteristics such as value, quality, momentum, size, and minimum volatility....
Your Home: Market vs. Assessed Value More Getty Images Recent sales of similar properties in the area can be a significant factor when determining the value of your house. Key Takeaways: Property value is viewed in different ways and can vary widely. A home’s market value i...
Social media platforms and online review sites offer a wealth of unsolicited feedback. Monitoring these channels can provide insights into how your product is perceived in the market. For example, you might analyze tweets mentioning your product to gauge customer sentiment or respond to reviews on ...