Economic Development:
The promotion of more intensive and more advanced economic activity through education, improved tools and techniques, increased financing, better transportation facilities, and creation of new businesses.
Microsoft® Encarta® Encyclopedia 2001. © 1993-2000 Microsoft Corporation. All rights reserved.
Economic Downturn:
A negative change in the economy, often resulting in increased unemployment and decreased investment and spending.
Embargo:
A government restriction or restraint on commerce, especially an order that prohibits trade in a given commodity or with a particular nation.
Encarta® World English Dictionary (North American Edition) © & (P) 2001 Microsoft Corporation. All rights reserved.
Emerging Markets:
Nations whose economies are transitioning or have recently transitioned from heavy state control to economic policies that are more market-oriented. These countries are often very attractive to outside investors.
Equity:
The value of a piece of property over and above any mortgage or other liabilities relating to it.
Encarta® World English Dictionary (North American Edition) © & (P) 2001 Microsoft Corporation. All rights reserved.
On a company's balance sheet, equity refers to the part of a company that belongs to the shareholders after all liabilities have been subtracted from assets. A company's net worth is called "stockholders' equity."
R.C. Epping, A Beginner's Guide to the World Economy, 3rd ed., New York, 2001.
European Central Bank (ECB):
Based in Frankfurt, the ECB was set up in the late 1990s to oversee economic and monetary policy in the 11 countries that had adopted the euro. It was clear that without a common interest rate and money supply policy, the individual member states would all tend to go their own way and the new currency would have no chance of succeeding.
R.C. Epping, A Beginner's Guide to the World Economy, 3rd ed., New York, 2001.
European Union (EU):
Organization of European countries dedicated to increasing economic integration and strengthening cooperation among its members. The European Union headquarters is in Brussels, Belgium. The European Union was formally established on November 1, 1993. It is the most recent in a series of European cooperative organizations that originated with the European Coal and Steel Community (ECSC) of 1951, which became the European Community (EC) in 1967. The members of the EC were Belgium, Britain, Denmark, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, and Spain. In 1991 the governments of the 12 member states signed the Treaty on European Union (commonly called the Maastricht Treaty), which was then ratified by the national legislatures of all the member countries. The Maastricht Treaty transformed the EC into the EU. In 1994 Austria, Finland, and Sweden joined the EU, bringing the total membership to 15 nations.
Microsoft® Encarta® Encyclopedia 2001. © 1993-2000 Microsoft Corporation. All rights reserved.
Exchange Rates:
The value of currencies worldwide is provided by exchange rates, which tell you what each currency is worth in terms of other currencies. Just like any other commodity, a currency is worth whatever people will pay for it. In the foreign exchange market, this involves putting two currencies together. A Norwegian krone, for example, is worth a fixed amount of euros or dollars or yen. Exchange rates are constantly being readjusted to keep them in line with the ever-changing markets.
R.C. Epping, A Beginner's Guide to the World Economy, 3rd ed., New York, 2001.
Export-Led Growth:
Economic growth that is stimulated by the export of goods for which a country has an advantage compared with other countries.