Economics Dictionary

If a person, company or country produces a product with less effort and resources than another person, company or country, it means that it has an absolute advantage over the other person, company or country in terms of that product.

The money that banks keep ready in their safes in order to meet their payments for deposit withdrawals or daily transactions is called ankes. The amount and form of this is not a necessity, but depends on the decisions and practices of the banks. Banks usually lend these values to the CBRT overnight at the end of the day.

It is the name of the table derived from the accounts in which the economic transactions of the residents of one economy with the residents of other economies during a certain period (month, three months or year) are recorded. The balance of payments consists of 5 balances: current account, capital account, financial account, net errors and omissions, reserve assets.

It is an index that evaluates the price movements of raw materials transported by sea. The BDIY index can be used to monitor global activity and thus to measure the vitality of growth dynamics through commercial activities. While the times when the index shows an upward trend indicate increasing demand and activity in global maritime trade and dry cargo transportation, it produces positive signals in terms of global growth, while the times when the index is weak are interpreted as limited growth.

Bear market; it is a phrase used to describe markets dominated by pessimistic expectations about the future. People who expect that the markets will worsen compared to their current state, sell their stocks with the expectation of buying them back at a lower price later on.

Behavioral economics; Considering that the rational human assumption, which is the basic assumption of the neoclassical economics approach, may not be valid in real life most of the time, we can define it as an economics approach that includes psychology in order to understand normal human behavior.

It is used as the basic index for Borsa Istanbul Equity Market. It consists of the stocks of 100 companies selected among companies traded on the National Market, real estate investment trusts and venture capital investment trusts traded on the Corporate Products Market, and includes the shares included in the BIST 30 and BIST 50 indices.

Bitcoin is a virtual currency used via the internet, not dependent on any central authority or intermediary institution. With this virtual currency, individuals or institutions can spend or accept money just like they do with real money. The rate of Bitcoin is determined in the market according to supply and demand, just like the rate of currencies against each other. People can store their Bitcoin money in virtual wallets they have created on the internet and can make transactions through these wallets. Personal information is not required for these wallets. In other words, the most important thing that makes Bitcoin different from real money is that it allows people to make money transactions without revealing their identities. The names of persons are not required to be disclosed in the purchase of goods and services, investments and accepting money.

Blockchain; it is a distributed database that provides encrypted transaction tracking. This distributed database, in which each piece of information is recorded in blocks, by connecting to each other with advanced encryption algorithms, provides us with the opportunity to make transactions without being tied to a center.

Brent oil is a type of quality crude oil extracted from the North Sea and whose barrel is accepted as an international standard. Brent oil takes its name from the initials of the 5 different layers from which it was extracted in the north sea; Broom, Rannoch, Etieve, Ness, Tarbat. It is in the class of sweet and light crude oils due to its 0.37% sulfur content, and its market value is extremely high because it is used in gasoline production. Brent is the leading global benchmark for crude oil prices for the Atlantic Basin. It is used for pricing the part that accounts for two-thirds of the world's international crude oil trade.

It is the economic and financial system adopted as a result of the United Nations Monetary and Financial Conference convened in the town of Bretton Woods in July 1944. The system is based on the agreement of the participating countries on a common monetary order. It has been accepted that the system is oriented in terms of the dollar, which is the only currency indexed to the bottom of the world monetary system.

The budget is an estimation table showing the revenues to be obtained and the planned expenses for a certain period.

The build-operate-transfer model is a public infrastructure investment that is financed by private sector companies, operated for a specified period of time, and handed over to the public sector at the end of the period.

Bull market; it is a phrase used to describe markets dominated by optimistic expectations about the future. People who expect the market to rise are called bulls, and the structure that the bulls drag up is called a bull market. People with this mindset buy stocks by borrowing even if they do not have enough money in the market before the market rises, and if their expectations are realized, they sell them at a high price and earn a profit.

Bouillonism is the name of the approach that suggests that wealth comes from precious metals. In the 16th century, it started with England's conversion of the revenues from exports to precious metals and restricting the precious metal outflow from the country to the outside, and it affected the world. The bullionism approach, which forms the basis of the monetary policy of mercantilism, is based on the thesis that the way to keep the balance of payments in favor of a country is to encourage the entry of precious metals into the country, while restricting their exit from the country.

The elimination of the differences that affect the time such as weekend holidays, public holidays, public holidays between the period in which the data based on comparison with the data we have is obtained, is called calendar adjustment.

It shows the ratio of the actual production amount of a production unit to the maximum amount that it can physically produce in a given period.

The whole of economic and social privileges granted by a state to other states depending on an agreement is called capitulation. Capitulation means conditions in Latin. Capitulation means bowing down, making a surrender agreement. Capitulation, with its special meaning in history, is the set of commercial privileges granted by one country to the citizens of another country.

carry trade; It is the process of earning income by borrowing from a currency with a lower interest rate and converting the borrowed money into a currency with a higher interest rate. Let's try to explain with an example. Let's say the interest rate is 11% in Turkey and 2% in the USA. When an American investor, who takes a loan from his own country with a 2% interest rate, brings this money to Turkey, exchanges it and deposits it in TL deposits or bonds with 11% interest for one year, if the exchange rates are stable, he will earn around 9% more interest income at the end of one year. Assuming that there is no political risk, the only risk that the American investor assumes here is the currency risk. In other words, if TL loses value against the dollar, this American investor may lose. Conversely, if the TL gains value against the Dollar, the American investor's earnings will be multiplied.

It is a structure in which companies or states producing in the same field act together to create monopoly conditions with various agreements.

It is a Latin phrase meaning "all other things being equal", "as long as other conditions remain unchanged". In economics, it refers to the situation that occurs when the change of one variable is monitored over time, while the other variables are assumed to be constant. Economic analysis is based on examining the change of one or more variables over time. While performing this analysis, some assumptions are made to simplify the observation. One of them is to consider the independent state of the variable that you want to examine by assuming other variables as constant.

CDS is short for Credit Default Swap. It is used as CDS because it does not have an exact equivalent in Turkish. It can be called a “credit risk premium” from time to time, albeit with some force. CDS is the price of a person or organization's acceptance of undertaking the risk of non-payment of the receivable that the creditor may face, in return for a certain price. The higher the CDS premium of a country or company, the higher the borrowing cost. Because this premium is inevitably reflected in the interest.

Off Shore banking or offshore banking; It covers the transactions made for the purpose of using the funds provided abroad, outside the country.

Commodity, a word of Arabic origin, is the plural form of the word meta, which means goods. However, the word commodity has been used in both singular and plural sense in Turkish. Commodity; It is the common name given to all goods subject to purchase and sale, that is, trade. It is the name given to goods consisting of natural materials such as gold, petroleum, copper, food products such as wheat, corn, barley, metals and minerals, and raw materials used in the production of another product.

It's good for one or a few people in the community to start saving. In addition, these savings are useful as they will create a source for investments. But if the whole society saves, the result will not be beneficial. The fact that everyone in the society starts saving at the same time leads to a decrease in aggregate demand and thus in total income.

The business cycle or business cycle is the term used to denote economic fluctuations in economic activity or production exceeding a few months or years.

Changing debts refers to the process of making a reduction in the interest rate to be paid by the debtor in order to alleviate the debt burden. In the change process, the amount of interest to be paid is reduced even though the principal amount and maturity of the debt do not change.

Convertibility generally refers to the process of converting a value to another value and the conditions under which this process will be done. When it comes to currency, convertibility means that a country's currency can be converted to gold or other currencies within the framework of a measure called exchange rate or parity.

The cross rate is the parity of each of the two countries' currencies with a third country's currency. This third currency is usually the US dollar. For example, to find the cross rate between Euro and TL, we need to divide the Euro-Dollar parity by the TL-Dollar rate.

It is an expression that expresses the possibility of loss from changes in assets or liabilities as a result of fluctuations in the value of the exchange rate in the future.

The term currency wars refers to efforts made to increase exports, limit imports, and keep the value of their own currency low against other currencies.

Current balance = (Revenues from exports of goods + revenues from services sold + other revenues) – (expenses for imports of goods + expenses paid for services purchased + other expenses). If the balance in this equation gives a deficit, that is, if it has a minus sign, there is a current account deficit. If this balance gives a surplus, that is, if it has a positive sign, there is a current account surplus.

Dumping can be defined on two grounds. In terms of price; We can define dumping when a company exports its product at a price lower than the price it sells in the domestic market. In terms of cost; We can call it dumping when a company exports its goods at a price below its cost.

The amount of debt accumulated by a state, company or person as of a certain date is called debt stock. When the public debt stock is mentioned, the total amount of domestic and foreign debts of the public sector accumulated as of a certain date is understood.

Deflation, in its shortest definition, is a state of continuous decline in the general level of prices. In this case, the purchasing power of money increases. The point to be noted here is that the price decline is general and continuous.

A prolonged downward trend in economic activities in an economy is called depression. There are two important points that distinguish depression from recession: (1) A recession is a short-term contraction in economic activities. It usually lasts between two quarters and several years. Depression refers to a longer period of collapse.

Reducing or removing state restrictions is called deregulation. The thesis of deregulation advocates; It is based on the view that fewer, simpler legal regulations will increase efficiency in production, increase the quality of service or product and reduce its price.

Instruments whose return is linked to the return of another value, that is, derived from the return of another value, are called derivatives. The most important feature of these products is that they bring a kind of balance to products whose values ​​change due to price fluctuations over time. Those who invest in these values ​​seek to hedge or earn returns by taking less risk.

The act of reducing the exchange value (parity) of a country's national currency against the national currencies of foreign countries by an administrative decision is called devaluation. Devaluation is a decision applied in the fixed exchange rate regime. In the floating exchange rate regime, the value of the rate changes every day in the market.

Economic development is the increase in living standards in a country or region. When we say living standards, it is necessary to consider general concepts such as education, health, quality food and water, as well as material concepts such as income, consumption and saving power.

These are the monetary provisions that the Central Bank requires to be kept in their safes in return for the deposits accepted by the banks. While deposit is not mandatory, liquidity is obligatory.

The US Dollar Index is an index that measures the value of the US dollar against a basket of currencies formed by the 6 major currencies (Japanese Yen, Euro, Canadian Dollar, British Pound, Swedish Krona and Swiss Franc). It is denoted by the abbreviation DXY.

The widespread use of foreign currencies other than domestic currency in a country in daily shopping or value determination is called dollarization.

Efficiency is the ratio of how much product is obtained with a unit of input in a given time period.

A person who produces a good or service by bringing together factors of production and inputs for profit.

It is the common currency of the member states of the European Union that join the Eurozone. It was first put into circulation on January 1, 1999. The coin is called cent.

The European Central Bank (ECB) is the central bank established to manage the monetary policy and practices of the Euro union, which consists of 17 member states of the European Union. Its main task is to ensure the price stability of the Euro, which is the common currency of these 17 countries, and therefore the 17 economies. The headquarters of the ECB is in Frankfurt. The European System of Central Banks (AMBS) consists of the central banks of the countries in the Eurozone. The European Central Bank, to which all these are affiliated, is the sole authority in determining the monetary policy of the Eurozone.

The European Union (EU) is the name given to the organization of the countries that are largely in the European continent to provide political and economic unity. With the Maastricht Treaty in 1992, the union, which was known as the European Economic Community (EEC) until then, assumed new duties and responsibilities from that date, and its name was changed to the European Union. As of the end of 2012, it has 27 members (Germany, Austria, United Kingdom (England), Belgium, Bulgaria, Czech Republic, Denmark, Estonia, Finland, France, Cyprus, Netherlands, Ireland, Spain, Sweden, Italy, Latvia, Lithuania, Luxembourg, Hungary, Malta, Poland, Portugal, Romania, Slovakia, Slovenia and Greece.)

factoring; It is the process of obtaining liquid funds in return for the transfer of short-term commercial receivables arising or to arise from the sale of goods and services by companies engaged in the sale of goods and services for domestic and foreign markets. In addition, financial institutions that provide companies with the opportunity to collect their forward sales prices before maturity are called 'factoring' institutions. These companies purchase the invoiced receivables of the companies that have made deferred sales in cash, but at a discount, and collect the receivables themselves when due.

Feasibility; It is a research on whether an investment is feasible or not. Before making investment decisions, a situation assessment is made and according to this assessment, it is decided whether that investment will be profitable and therefore whether it will be made.

Finance; It is the general name given to activities related to the provision of needed resources under appropriate conditions and their effective use. We can define finance as follows; individuals or institutions earn financial income, make investments and evaluate these investments over time. The name of the discipline related to these activities is the science of finance.

Fiscal consolidation is a set of practices that aim to reduce the budget deficit and thus the debt burden, by reducing expenditure items or increasing revenues in various ways, such as increasing tax rates and reducing exemptions.

financial contagion; It is the situation in which international investors become uneasy as a result of economic and financial problems that arise in one or more economies, and therefore they quickly withdraw their investments in economies with similar characteristics to the economies in which the problem has arisen, and in this way, unfavorable investment conditions spread to the financial systems of other countries.

Fiscal drift is when the automatic increase in tax revenues in an economy has an adverse effect on the economy and reduces the growth rate.

It is the market where the supply of loanable funds meets the demand for these funds. The main function of the financial market is to transfer loanable funds and financial capital from those with surplus income to those with surplus expenditures.

Fiscal policy is the use of financial instruments in line with a target in order to maintain the economic balance or to eliminate the imbalances in the economy.

The difference between the foreign currency payments made by a country for the goods it imports by paying foreign currency from abroad and the foreign currency income it earns from the goods sold abroad in exchange for foreign currency is called the foreign trade balance:

It refers to the transactions that are agreed upon as of today on terms such as maturity, interest and amount in a transaction that is the subject of a contract, but that will start at a later date and will end at a later date.

This group, called the fragile five, includes India, Brazil, Indonesia, Turkey and South Africa. The fragile five grouping also emerged after the US Federal Reserve (Fed) announced that it would reduce its bond purchases.

It is the name of the index that includes the stocks of the 100 companies with the highest market value in the London Stock Exchange.

An agreement to deliver or receive an asset of standard quantity and quality at a predetermined price at a specified date in the future.

This group includes the economy ministers or finance ministers of 19 major countries, Central Bank Governors, the President of the European Council of the European Union and the President of the European Central Bank. The members of the G-20 group are: USA, China, Japan, Germany, France, England, Italy, Canada. , Russia, India, Argentina, Turkey, Brazil, Mexico, South Africa, Saudi Arabia, Korea, Australia, Indonesia, the Presidency of the European Union and the President of the Central Bank of the European Union.

It is the name of the group formed by the 7 richest countries in the world to discuss the economic and monetary problems of the global system and to cooperate on these issues. Members of this group are USA, Japan, Germany, England, France, Italy, Canada and Russia. It met for the first time under the name of G-6 with 6 members in 1975, when Canada joined in 1976, it became G-7 and in 1997, with Russia's entry into the group, its name changed to G-8.

The securities used by the Treasury for domestic borrowing with a maturity of one year or longer are called Government Bonds (or Bonds for short), while the securities used by the Treasury for domestic borrowing with a maturity of less than one year are called Treasury Bills (or Bonds for short). Both debt securities are collectively called Government Domestic Debt Securities and are denoted by the abbreviation DIBS.

Gross domestic product, or simply GDP, is the total value formed by adding up all the final goods and services produced in a country over the market prices in a given period.

With the liberalization of capital flows, capitalism has become a widespread system almost all over the world.

The monetary system in which the value of money is tied to the value of a certain weight of gold is called the gold standard or gold standard system. The monetary system was based on the gold standard for about a century, from the beginning of the 19th century until the end of the First World War. This system was first implemented in England in 1821. After 1937, the USA remained the only country to implement the system. The value of 1 ounce of gold was defined as $35. When the USA abandoned this system in 1971, there was no country in the world with gold for its money.

Economic growth is defined as the increase in vehicles and products that will meet human needs in a country or region. The shortest way to measure this is to look at whether there is a real increase in GDP, which expresses the market price of all measurable values ​​produced by an economy, from one period to the next.

Hedging is the process that those who hold commodities such as foreign currency or gold do to protect themselves from the risks they will face in case of a decrease or increase in prices.

Funds that make short-term investments in different markets, different investment tools and even strategies to earn high profits are called hedge funds.

Hot money is the name given to the foreign currency that comes to that country to take advantage of high interest rates and high returns.

Inflation means a continuous increase in the general level of prices.

Exchange rate is the general name given to the coefficient that determines the value of a country's currency against foreign currencies.

Profit received in return for the use of money lent to a bank or similar place or person for a certain period of time; The money paid to use someone else's money for a certain period of time.

It shows the difference between a country's financial receivables and reserve assets from abroad and its financial liabilities abroad.

Investment grade status; It is a status that requires having a BBB or Baa rating from at least two important credit rating agencies.

The International Monetary Fund is an international institution established to provide support within the framework of a program for member countries to overcome the balance of payments problems they face or are likely to encounter.

Import substitution is an industrialization policy that envisages the domestic production of goods imported from abroad with protective and encouraging measures. Import substitution policy, on the one hand, restricts imports with high customs protection measures, on the other hand, it tends to ensure that the imported goods are produced domestically with incentive measures.

late liquidity window; It is the process of lending TL deposits to banks and borrowing TL deposits from banks in the Interbank Money Market operating within the framework of the "lending of last resort" function of the Central Bank.

It is a rate determined by highly reputable banks established in London every day at 11 o'clock to show the interest rate they will apply on loans they will give to each other.

Liquidity trap refers to a stage where increases in money supply cannot lower interest rates any further.

The ratio of the accumulated debt of a state, company or person as of a certain date to its total income is called the debt burden. When the public debt burden is mentioned, the ratio of the total amount of domestic and foreign debts of the public sector accumulated as of a certain date to GDP is understood.

It is used to describe the set of measures aimed at controlling and reducing the risks that may arise in the financial system.

These are the amounts that the central bank requires banks to keep at the Central Bank in return for the deposits and similar resources they accept.

It is defined as fraudulent redirection. Manipulation can be done by directing perception or by directly interfering with price movements. Misleading investors by spreading false information or rumors, or attempting to deliberately and artificially lower or raise the price of a security using various techniques are types of manipulation.

A middle-income trap is when an economy is stuck after reaching a certain level of per capita income. The middle-income trap is the approach that states that the per capita income level in an economy cannot go beyond a certain stage or that it enters into a recession after reaching a certain income level.

Money is a tool used to purchase goods and services, store value, and serve as a measure of value.

The market in which short-term, highly liquid financial instruments are traded is called the money market.

The sum of the money in circulation, the cash reserves of the banks and the required reserves at the Central Bank is called the monetary base or money base.

Monopoly or monopoly is when there is only one firm that produces or markets a product in any market.

It is an investment instrument based on the principle of collecting the savings of savers who want to invest in a pool managed by professional managers to be evaluated in capital market instruments.

Narh application; Sales prices of goods and services are determined by public authorities. Narh application; It can be applied to protect both the producer and the consumer in the form of determining the floor and ceiling prices.

Milton Friedman calls unemployment, which occurs in the form of temporary and structural unemployment, as "natural unemployment" and its rate as "natural unemployment rate". The natural unemployment rate is a different rate for each economy, formed according to its own structure. Such calculations are usually made by taking the average of many years.

The item in which errors and deficiencies in the compilation of data on the balance of payments showing the economic relations of a country with the outside world are shown in the balance of payments table is called net errors and omissions.

Neurofinance, which has developed as a branch of behavioral finance, is an approach that tries to combine psychology, sociology and other branches of science with economics, and in this way, to understand how people make decisions.

The exchange rate prevailing in the market is called the nominal exchange rate.

It is a union of oil exporting countries. Angola, Libya, Nigeria, Algeria, Iran, Iraq, Kuwait, Qatar, Saudi Arabia, United Arab Emirates, Venezuela, Ecuador are member states.

It is an investment instrument that gives the right to buy and sell an asset such as goods, foreign currency, securities, interest at a fixed price in a certain period of time. The option holder has the right to use the option contract, which he has purchased for a certain premium, within or at the end of the period specified in the contract.

If the actual level of GDP, which is expressed as the total value of production or income in an economy, is different from the potential level, the difference is called the output gap. In cases where the output gap is positive, it is thought that there is excess demand, thus the economy is operating above its normal capacity and this may cause demand-side inflationary pressure.

Over-the-counter markets are markets where any financial instrument or payment instrument or an asset with economic value can be bought and sold directly between the parties, and where agreements between the parties, not a set of regulations, rules or standards, dominate.

The trading value of the currencies of two countries with each other is called parity.

The PMI Index is an index based on surveys that show the purchasing tendencies of companies' purchasing managers to purchase goods and services. In a sense, this index functions to explain the growth projections. The survey that is the basis of the PMI Index; It covers questions on New Orders, Production, Employment, Suppliers Lead Time and Input Stock.

The exchange value of a good or service is called the price.

The branch of economic theory that analyzes how the prices of goods and services are formed is called price theory.

The expression of the relationship between the production factors and other input quantities, consisting of labor, capital, natural resources and entrepreneurial power used in the production of a good, and the products obtained within the framework of a function is called a production function.

Banks have to deposit a certain amount of the deposits and other resources they collect, at the rate determined by the central bank, to the central bank in order to demand and use them in future difficulties.

Borrowing of the public sector from the domestic market is called public sector domestic borrowing. Since this borrowing is predominantly done by the Treasury, sometimes the term Treasury domestic borrowing can be used synonymously. Making public sector domestic borrowing in its own currency, indexed to foreign currency or in foreign currency does not change the nature of the borrowing. Here, the distinguishing factor in whether the debt is a domestic debt or an external debt is the market in which the borrowing authority made this borrowing.

The public sector borrowing from foreign markets is called public sector external borrowing.

Quantitative easing is when central banks buy bonds and bills to increase the amount of money in the market and in return supply money to the market. The purpose of quantitative easing, which is used as a tool of monetary policy, is to increase the liquidity in the market, to encourage lending and, in this way, to revive the economy.

According to the rational expectations approach, people form their expectations for the future by using all the disclosed data and information they have at the highest level and by not repeating their past mistakes.

The real exchange rate is the rate calculated by comparing the nominal exchange rate between the currencies of the two countries with the selling prices of the same goods or groups of goods in these two countries. It shows how realistic the nominal exchange rate is.

It is the interest calculated by removing the effect of inflation from the net nominal interest.

A recession is a state of contraction in the economy.

Rediscount means a second discount. The sale of undue commercial papers to a bank at a value lower than the value written on them is called a discount. It is also called rediscount when a bank sells commercial papers purchased through discount to the Central Bank at a price lower than the price it bought, in order to solve the liquidity problem it faces.

Repo is a transaction that is generally applied to temporarily increase the liquidity of the banking system in cases where the liquidity crunch in the market is temporary. Reverse Repo transactions are usually made to withdraw excess liquidity when there is temporary excess liquidity in the market.

It is a type of petroleum that is formed by transforming the organic substance called kerogen found among the rocks by various technical methods.

Making a comparison between the data we have and the period in which the data based on the comparison is obtained, by eliminating the differences due to weather conditions, social, cultural and religious effects is called seasonal adjustment.

The basket created with more than one foreign currency to measure the value of a country's currency against foreign currencies is called a currency basket.

Shanghai Cooperation Organization was founded in 1996 by Russia, China, Kazakhstan, Kyrgyzstan and Tajikistan under the name Shanghai Five.

If an economy is shrinking while there is inflation, it means that there is a state of slumpflation (shrinking in inflation) in that economy.

It is the act of trying to profit from future price changes by assuming risk in relation to an investment tool or commodity.

It is a person or institution that tries to predict price changes with its knowledge and experience and profits from the risk it takes if it makes the right estimation.

It is the market where the purchase or sale of a product is carried out at the latest two business days after the price determined on the transaction date.

If an economy does not grow while there is inflation, it means that there is a state of stagflation (stagnation within inflation) in that economy.

It is a test applied to determine whether financial institutions have sufficient capital to counter these developments in the event of negative developments in the economy.

It can be defined as the restructuring of a system so that it can work more efficiently and make it more resistant to shocks.

The economic approach that advocates tax reductions, deregulation and liberalization of markets in order to increase production by seeing the development of the economy on the production side is called supply-side economy. Supply-side economics emerged as a reaction to Keynesian demand management. The proponents of this view are of the opinion that the restriction or control of demand not only serves to control the economy, but also restricts production and investment. According to them, the main thing is to increase social welfare by increasing production as well as providing economic balance and stability.

Technical Analysis is the process of making price predictions for the future by analyzing past market movements based on indicators such as price, quantity and volume. For this purpose, various graphic formations and statistical methods are used and trends are determined. It is based on the assumption that the formations that occur due to the past price, quantity and volume movements on the charts constitute indicators for the future, therefore such formations can be used as indicators for trading.

According to Danny Miller, most companies, after achieving a certain level of success, easily enter into ways such as the complexity of the company structure, increase in costs, and belittlement of the strategies of their competitors with the overconfidence of this success. When they do take such paths, they often lose control and eventually go to collapse.

Economies are divided into four according to their relations with growth and inflation: (1) If an economy grows with zero inflation, there is no inflationary growth. (2) If an economy has both real growth and inflation, it means that there is inflationary growth. (3) In an economy, when real growth is at or close to zero, if there is inflation, stagflation is valid. (4) If inflation occurs while GDP shrinks in real terms in an economy, that economy is facing slumpflation.

Information that has not been disclosed to the public and may have an impact on a capital market instrument is called a tip. This action is among the crimes of information misuse, which is among the capital market crimes.

Tobin Tax is a tax applied to ensure that foreign resources coming to the country for investment purposes stay for a long time. For foreign currencies that come to the country to earn interest income, for example, if an additional tax of 2 - 3 percent is applied on the interest or similar income earned during their stay in the country, for example, those who return in less than 6 months, this additional tax is called Tobin Tax.

Financial assets that lose a great deal of value in the event of a negative development are called toxic assets.

Although the rates vary from country to country, the funds that are created with premium deductions from the state, employer and worker and that make payments to the insured who meet the conditions in case they become unemployed are called unemployment fund or unemployment insurance fund.

Persons aged 15 and over, who have used job search channels in the last 4 weeks and are able to start work within 2 weeks, are considered unemployed, among those who have not worked in any job on the day of the employment survey and in the previous week. The unemployment rate is found by dividing the number of unemployed by the total labor force.

The USA Federal Reserve (Fed) was established in 1913. Three main objectives were determined for the monetary policy to be followed by the Fed in its founding law: Ensuring the highest level of employment, realizing price stability and keeping long-term interest rates at a reasonable level. The Fed consists of 12 regional Federal Reserve Banks.

Another name is diamond – water contradiction. Water is an indispensable object for life, and a diamond is an object that has no meaning other than ornaments and ostentation. On the other hand, the market price of diamond is too high to measure with that of water. The reason for this contradiction is related to one of the main issues in the economy, abundance - scarcity, supply - demand. Water is abundant, diamonds are scarce. The price of a good is determined not by how useful and indispensable it is, but how scarce or abundant it is.

The dictionary meaning of volatility is volatility or fluctuation. The more frequent and higher the fluctuations in prices, the higher the volatility and therefore the higher the risk.

Warming up the economy simply means that GDP growth goes beyond potential growth without relying on solid resources. Potential growth rate can also be defined in various ways.

A warrant is an investment instrument that allows you to buy or sell an underlying asset at a specified price before a specified date.

National Wealth Funds are funds that work under the ownership and management of the state, aiming to increase its income by investing in various financial assets.

The World Bank is one of the autonomous organizations of the United Nations, which includes five organizations. It was decided to be established during the Bretton Woods meeting and II. It became operational after World War II. Together with the IMF, the two are called the Bretton Woods twins. Its purpose is to finance public sector projects and private sector projects of developing economies in member states.

The ZEW Index, which is one of the most important indices that provides information about the course of the German economy, the largest economy in Europe, is a kind of monthly confidence index. The ZEW Index is compiled by the European Economic Research Center, an independent institution, by compiling the inflation, interest, exchange rates and stock market expectations of 350 analysts and economists across Europe for the next six months of the German economy.