What does Inframarginal mean in economics?
Inframarginal units are the units of output that the price could have sold at the old price, but now must sell at the new, lower price that prevails when it increases its output level. If the firm is a price-maker, the marginal revenue curve lies below the demand curve everywhere except at an output of zero.
What is Inframarginal cost?
Inframarginal prices are the prices charged for units that are not at the margin. For example, if a consumer purchases 1000 liters of water, the price paid for the 1000th unit is the marginal price and the prices charged for the other 999 liters are the inframarginal prices.
What are Inframarginal borrowers?
These are the “infra-marginal” borrowers, those high-productivity borrowers with high business aspirations for whom the opportunity to borrow at reasonable interest rates makes them jump at the microfinance opportunity as soon as its available.
What does infra mean in science?
below
prefix. Definition of infra- (Entry 2 of 2) 1 : below infrahuman infrasonic. 2 : within infraspecific. 3 : below in a scale or series infrared.
What is the firm’s Lerner index?
Lerner index, in economics, a measure of the market power of a firm. Formalized by the Russian-British economist Abba P. Lerner in 1934, the Lerner index is expressed in the following formula: Lerner index = P – MC/P where P represents the price of the good set by the firm and MC represents the firm’s marginal cost.
What does total bank credit mean?
Bank credit is the total amount of funds a person or business can borrow from a financial institution. Credit approval is determined by a borrower’s credit rating, income, collateral, assets, and pre-existing debt. Bank credit may be secured or unsecured.
How do you use infra in a sentence?
1, She thinks catching the bus is a bit infra dig. 2, Dancing in the street is rather infra dig for a bank manager! 3, Common types are dielectric moisture meter, infra – red absorption type moisture meter, etc.
What does infra mean medical?
situated beneath
Infra Prefix Meaning Mnemonic: situated beneath = below something.
What is the Boone indicator?
Boone indicator. Short definition. A measure of degree of competition based on profit-efficiency in the banking market. It is calculated as the elasticity of profits to marginal costs. An increase in the Boone indicator implies a deterioration of the competitive conduct of financial intermediaries.
What is Lerner Index in perfect competition?
The Lerner Index (LI) is: In perfect competition, LI is equal to zero. The index defines monopoly power in terms of the slope of the demand curve. In the case of a profit maximizing firm in equilibrium, marginal revenue equals marginal cost and the LI is equal to the inverse of the elasticity of demand.
What is credit audit?
Credit Audit examines compliance with extant sanction and post-sanction processes / procedures laid down by the bank from time to time.
What are cumulative bank credits?
Cumulative Credit means, at any date, an amount, not less than zero in the aggregate, determined on a cumulative basis equal to, without duplication: Aggregate Maximum Credit Amounts at any time shall equal the sum of the Maximum Credit Amounts, as the same may be reduced or terminated pursuant to Section 2.06.
What is inframarginal analysis?
In brief, inframarginal analysis is an analytical method that includes the types of products, the number of manufacturers and transaction costs into the analytical framework.
What does inframarginal mean?
Inframarginal Also found in: Medical. In`fra`mar´gin`al a. 1. Below the margin; submarginal; as, an inframarginalconvolution of the brain. Webster’s Revised Unabridged Dictionary, published 1913 by G. & C. Merriam Co. Want to thank TFD for its existence?
What is the impression of inframarginal economics?
The impression of inframarginal economics is that it provides potential support for marginal economics and inframarginalists argue that the division of labour and professionalization of the economy are crucial to economic progress.
Do inframarginal consumers exist?
Using the Spence-Comanor argument concerning the possible existence of so-called inframarginal consumers (who do not value quality changes initiated by producers as much as do marginal consumers), BF show that RPM can cause welfare to decline.