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  2. Purchasing power - Wikipedia

    en.wikipedia.org/wiki/Purchasing_power

    The purchasing power of a unit of currency, say a dollar, in a given year, expressed in dollars of the base year, is 100/P, where P is the price index in that year. So, by definition, the purchasing power of a dollar decreases as the price level rises.

  3. Economies of scale - Wikipedia

    en.wikipedia.org/wiki/Economies_of_scale

    Common sources of economies of scale are purchasing (bulk buying of materials through long-term contracts), managerial (increasing the specialization of managers), financial (obtaining lower-interest charges when borrowing from banks and having access to a greater range of financial instruments), marketing (spreading the cost of advertising ...

  4. Purchasing power parity - Wikipedia

    en.wikipedia.org/wiki/Purchasing_power_parity

    In neoclassical economic theory, the purchasing power parity theory assumes that the exchange rate between two currencies actually observed in the different international markets is the one that is used in the purchasing power parity comparisons, so that the same amount of goods could actually be purchased in either currency with the same ...

  5. List of countries by GDP (PPP) - Wikipedia

    en.wikipedia.org/wiki/List_of_countries_by_GDP_(PPP)

    The data for GDP at purchasing power parity has also been rebased using the new International Comparison Program price surveys and extrapolated to 2007. Non-sovereign entities (the world, continents, and some dependent territories ) and states with limited recognition (such as Kosovo , Palestine and Taiwan) are included in the list in cases in ...

  6. Hyperinflation - Wikipedia

    en.wikipedia.org/wiki/Hyperinflation

    Hyperinflation increases stock market prices, wipes out the purchasing power of private and public savings, distorts the economy in favor of the hoarding of real assets, causes the monetary base (whether specie or hard currency) to flee the country, and makes the afflicted area anathema to investment.

  7. Inflation - Wikipedia

    en.wikipedia.org/wiki/Inflation

    Inflation is the decrease in the purchasing power of a currency. That is, when the general level of prices rise, each monetary unit can buy fewer goods and services in aggregate. The effect of inflation differs on different sectors of the economy, with some sectors being adversely affected while others benefitting.

  8. Economic power - Wikipedia

    en.wikipedia.org/wiki/Economic_power

    Economic power refers to the ability of countries, businesses or individuals to improve living standards. It increases their ability to make decisions on their own that benefit them. Scholars of international relations also refer to the economic power of a country as a factor influencing its power in international relations. [1]

  9. Supply and demand - Wikipedia

    en.wikipedia.org/wiki/Supply_and_demand

    In both classical and Keynesian economics, the money market is analyzed as a supply-and-demand system with interest rates being the price. The money supply may be a vertical supply curve, if the central bank of a country chooses to use monetary policy to fix its value regardless of the interest rate; in this case the money supply is totally ...