Page 111 - VIRANSH COACHING CLASSES

• Rare goods : They are artistic or precious total demand and time liabilities. It has been
goods that have a limited supply. The supply revised by RBI from time to time.
of these goods cannot be increased according to • Subsidies : It is a sum of money granted by
their demand or rising prices. the state or a public body to help an industry
• Real Time Gross Settlement (RTGS) : 'Real or business to keep the price of a commodity or
Time' means the processing of instructions at the service low.
time they are received 'Gross settlement' means • Tariff : Tariffs are used to restrict imports
that settlement of funds transfer instructions by increasing the price of goods and services
occurs individually. purchased from another country, making them
• Rectangular hyperbola : Rectangular less attractive to domestic consumers.
hyperbola is a curve under which all rectangular • Trademarks : It is a symbol, word or words
areas are equal.
legally registered or established by use as
• Repo Rate : Rate at which RBI repurchases representing a company or product.
government securities from commercial banks • Transfer payments : It is a one-way payment
for a short period when a liquidity shortage is of money for which no money, good or service
experienced. It injects liquidity into the banking is received in exchange. Governments use such
system.
payments as means of income redistribution by
• Reverse Repo Rate : Rate at which RBI sells giving out money under social welfare programs
dated government securities in the market such as social security, old age or disability
through auction at fixed cut-off rate of interest. pensions, student grants, unemployment
It absorbs liquidity and also provides short term compensation, etc.
avenue to banks to park their surplus funds.
• Trends and Tendencies : A pattern of gradual
• Sales proceeds : It refers to the amount of change in a condition, output or process or an
money received from a particular event or average or general tendency of a series of data
activity or when something is sold.
represented by a line or curve on a graph.
• Samples: It is a subset containing the • Uncertainty : In economics, uncertainty
characteristics of a larger population.
implies that the future outlook for the economy
• Self-consumption : Producers themselves is unpredictable. There is a high likelihood of
consume the entire or a part of the output they negative economic events to occur.
produce is self-consumption.
• Undistributed profits of companies :
• Social accounts : It is the process of measuring, Undistributed profits are those earnings of
monitoring, and reporting to stakeholders a corporation that have not been paid out to
the social and environmental effects of an investors in the form of dividends.
organization’s actions.
• Venture Capital Companies : They provide
• Speculation : Speculation involves trading in commercial support to new ideas and for
a financial instrument involving high risk, in the introduction and adaptation of new
expectation of significant returns. The motive is technologies.
to take maximum advantage from fluctuations
in the market. • Welfare economics : It is that branch of
economics that seeks to evaluate economic
• Standardized items : It means products of the
same type, having the same basic features. policies in terms of their effects on the well-
being of the community.
• Statutory Liquidity Ratio (SLR) : Under
Section 24 of Bankng Regulation Act, 1949, • Window Display : It is a marketing strategy
commercial banks have to maintain liquid in which a systematic arrangement of articles
assets in the form of cash, gold and approved is done in such a way that they attract the
securities equal to not less than 25% of their attention of those who pass-by.
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